Retirement & IRAs
We offer both traditional and Roth IRA options. Created to encourage individuals to save for and manage their retirement, IRAs have the benefit of an interest-bearing investment, with the added bonus of potential tax deductibility, deferment, or even tax-free earnings.
Compare IRAs:
| Traditional IRA | Roth IRA | |
|---|---|---|
| Who can contribute? | Anyone with earned income. | Depends on modified adjusted gross income (MAGI). |
| How much can be contributed a year? | 100% of earned income up to a maximum of that year's standard contribution limits. | May contribute the lesser of that year's standard contribution limit or 100% of earned income, subject to Modified Adjusted Gross Income (MAGI) limits. |
| How does the account grow? | Tax-deferred until withdrawn. | Tax-free when distribution guidelines are met. |
| Are the contributions deductible?1 | Some contributions may be deductible depending on if you qualify. | Contributions are never deductible. |
| When is federal income tax due?1 | Due upon withdrawal of earnings and deductible contributions. | No federal income tax when distribution guidelines are met. |
| How long can contributions be made? | long as income is earned. | As long as income is earned. |
| When does the IRA need to be distributed by? | Mandatory distributions start at age 73. | Does not have a mandatory distribution age. |
1Seek the advice of a qualified tax accountant or refer to IRS Publication 590 for details concerning deductibility.
Contribution limits are subject to Cost-of-Living (COLA) adjustments. Additionally, if you reach age 50 or older by the end of your taxable year, you are eligible to make catch-up contributions.
Your selection depends on a few factors, including age, income, and whether you’re investing in an employer plan. Get started saving for retirement now, no matter what stage of life you are in.
Withdrawals may be subject to a certificate of deposit early withdrawal penalty if taken outside of the grace period. Please see Deposit Account Disclosure – Personal Products or the Deposit Account Disclosure – Business Products for full terms and conditions.
For further details on earned income limits and distribution guidelines, see IRS Publication 590.
Fixed-Rate IRA CD
Take advantage of tax benefits, with a fixed rate.
Details
| Fixed-Rate IRA CD | Details |
|---|---|
| Term | 6 months to 5 years. |
| Minimum deposit to open | $500 |
| Interest rate | Rate fixed for full term. Compounds daily. |
| Special features | Additional deposits allowed only at renewal |
Floating-Rate IRA CD
Details
| Fixed-Rate IRA CD | Details |
|---|---|
| Term | 18 months. |
| Minimum deposit to open | $100 |
| Interest rate |
The interest rate and annual percentage yield can change. Compounds daily. |
| Special features | Additional deposits of $50 or more may be made to this account at any time. |
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