It’s never too early or too late to start saving for your golden years. And with an IRA, you can save with special tax advantages.*
Benefits
- Make your golden years some of your best by saving in advance
- Save for retirement with special tax advantages*
- With Traditional and Roth IRA options available, you can choose the IRA type that best fits your needs
- You'll also have the option of selecting an IRA savings or IRA certificates
- You'll also have the option of selecting an IRA savings or IRA certificates
- Competitive dividends above standard savings rates
- Contributions can be made as a payroll deduction
- No setup fees
- Avoid the $25 annual fee by maintaining a $500 minimum balance
- Annual contribution limits apply (see current contribution limits; $6,000 as of 2021)
- Additional $1,000 "catch-up" contribution allowed for ages 50+
- Early withdrawal penalties may apply
- $50 minimum deposit to open
Traditional vs. Roth
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 tax*
- Earnings are tax deferred until withdrawal (when usually in lower tax bracket)
- Withdrawals can begin at age 59½
- Early withdrawals subject to penalty**
- Mandatory withdrawals at age 72
Roth IRA
- There are income limits to be eligible to open Roth IRA***
- Contributions are NOT tax deductible
- Earnings are 100% tax free at withdrawal*
- Principal contributions can be withdrawn without penalty*
- Withdrawals on interest can begin at age 59½
- Early withdrawals on interest subject to penalty**
- No mandatory distribution age
- No age limit on making contributions as long as you have earned income
*Subject to some conditions. Consult a tax advisor.
**Certain exceptions apply, such as healthcare, purchasing first home, etc.
***Consult a tax advisor.
*Consult a tax advisor.