Some IRA Basics:
- Traditional IRAs are tax-deductible. Investments grow on a tax-deferred basis. Earnings are taxed only upon withdrawal and required minimum distributions start by age 70½.
- Roth IRAs may offer greater tax savings and withdrawal flexibility than a Traditional IRA. While contributions are not tax deductible, contributions and earnings can be withdrawn tax-free on qualified distributions. Roth IRAs have no required minimum distribution and you can contribute beyond age 70½. Eligibility depends on income.
- ESA IRAs (Coverdell Educational Savings Accounts) help pay for a child's education. When used to pay for qualified education expenses, the earnings on your contributions are tax-free.
Individual Retirement Accounts (IRAs) offer the advantages of tax-deferred savings, guaranteed return and deposits insured by NCUA up to $250,000. This in addition to the $250,000 insurance you receive on your regular Credit Union deposit accounts. All Credit Union Certificates are available as IRAs.
