Individual Retirement Accounts (IRAs)
Individual Retirement Accounts (IRAs)
You’ve put in the time — ensure that your earnings have too. With an IRA from Chief Financial, you can grow your nest egg with competitive dividends that compound over time. You can open a new account or roll over an existing account. Whether you choose a traditional or Roth option, an IRA is always a tax-advantaged1, low-cost account insured by the NCUA.
- Save for retirement with tax advantages1
- Earn competitive dividends higher than regular savings
- Pays monthly dividends
- Available in traditional and Roth
- Annual contribution limits apply
- $1,000 annual “catch up” contributions allowed for ages 50 and better
- No annual fees or set up fees
- No minimum balance requirements
- Federally insured
- $1,000 minimum deposit to open
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 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
- Prepare for qualified medical expenses
- 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- Principal contributions can be withdrawn without penalty1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 earnings can begin at age 59½
- Early withdrawals on earnings subject to penalty2
- No mandatory distribution age
- No age limit on making contributions as long as you have earned income
1Subject to some minimal conditions. Consult a tax advisor.
2Certain exceptions apply, such as healthcare, purchasing a first home, etc.
3Consult a tax advisor.