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Individual Retirement Accounts (IRAs)
Retirement is a long-term goal, but you can speed up the process with our competitive interest and tax advantages.
Key Features
Competitive Interest
No Setup or Maintenance Fees
Tax Advantages¹
Details
- Competitive interest above standard savings rates
- Traditional and Roth IRA options
- No setup fees
- No monthly or annual maintenance fees
- Annual contribution limits apply¹
- Additional $1,000 “catch-up” contribution allowed for ages 50+
- $100 minimum deposit to open
Traditional IRA vs Roth IRA
There are advantages to both traditional and Roth IRAs. One of the biggest differences is the time at which you see the most advantage. A traditional IRA provides potential tax relief today, while a Roth IRA has the potential for the most tax benefit at time of retirement.
Traditional IRA
- No minimum contribution requirement
- Contributions are tax deductible on state and federal income tax¹
- Earnings are tax deferred until withdrawal (when usually in lower tax bracket)
- Withdrawals can begin at age 59½
- Early withdrawals subject to penalty²
- Mandatory withdrawals at age 72¹
Roth IRA
- Income limits to be eligible to open Roth IRA³
- Contributions are NOT tax deductible
- Earnings are 100% tax free at withdrawal1
- Principal contributions can be withdrawn without penalty¹
- Withdrawals on interest can begin at age 59½
- Early withdrawals on interest subject to penalty²
- No mandatory distribution age
- No age limit on making contributions as long as you have earned income
¹ Subject to some minimal conditions. Consult a tax advisor.
² Certain exceptions apply, such as healthcare, purchasing first home, etc.
³ Consult a tax advisor.