Would you like your tax break now or later?1 We’ve got high-interest IRAs with no setup or maintenance fees for either option.
Key Features
Competitive Interest
Tax Advantages1
No Setup or Maintenance Fees
Details
- Save for retirement with tax advantages1
- Competitive interest above standard savings rates
- Traditional and Roth IRA options
- No setup fees
- No monthly or annual maintenance fees
- Additional $1,000 "catch-up" contribution allowed for ages 50+
- Funds can be used to purchase CDs within IRA
- $50 minimum deposit to open
1Consult a tax advisor.
Contribution Limits
| Coverage | Contribution Limit 2020 | Contribution Limit 2019 |
|---|---|---|
| Under 50 years of age | $6,000 | $6,000 |
| Age 50 and over | $7,000 | $7,000 |
| "Catch Up" for those age 50 + | $1,000 | $1,000 |
Traditional vs. Roth
When would you like to enjoy your tax 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 income limits to open
- 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 70½
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- Principal contributions can be withdrawn without penalty1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
1Subject to some conditions. Consult a tax advisor.
2Certain exceptions apply, such as healthcare, purchasing first home, etc.
3Consult a tax advisor.