Individual Retirement Accounts (IRAs)
Retirement might still be a long way off. Or maybe it's just around the corner. While those may seem like reasons not to bother saving, they're actually reasons you should! The more time you have to save, the more you can have set aside when you need it. And if it's almost time to retire, then saving is more important than ever! Let us help you set up an IRA that's best for you.
- Set aside funds for retirement
- Safe and secure investment
- Earn interest on entire balance
- Competitive interest rates
- Traditional and Roth options
- Traditional vs. Roth
Both traditional and Roth IRAs offer unique tax advantages. To help you decide which option best fits your needs, take a look at some of the major differences between the two.
- Contributions to traditional IRAs are tax deductible; this is not true with a Roth IRA. Thus, a traditional IRA will provide some immediate tax benefits.
- With a Roth IRA, interest earned is tax free; with an traditional IRA, earnings are only tax deferred, meaning they will be taxed as income upon withdrawal.
- Principal contributions can be withdrawn penalty-free with a Roth IRA, giving you additional flexibility in case those funds are ever needed. This is not possible with a traditional IRA.
- Mandatory withdrawals begin at age 70½ with traditional IRAs; there is no mandatory withdrawal age for Roth IRAs.
This information is provided as a courtesy. Consult your tax advisor for specifics. You can also contact us if you have more questions.