Maximize your retirement savings with an IRA.
Whether it’s a Traditional, Roth or saving for your children or grand-children’s education with a Coverdell Education Savings Account, we’ll be able to help you meet your goals. There’s no annual fee, so you can maximize your earnings!
TRADITIONAL
IRA*
ROTH
Coverdell Education Savings Account
Must be under age 70 ½ for the entire year with earned income, no income restrictions
May be any age with earned income, income may not exceed: $168,000 and phased out to $179,000 for couples and $107,000 for individuals & phased out to $122,000
May be made for children 17 and under, contributor’s income may not exceed: $190,000 and phased out to $220,000 for couples and $95,000 for individuals and phased out to $110,000
Funds can be invested
in either money market
or CD products
CONTRIBUTION LIMITS
Total Traditional and Roth contribution cannot exceed $5,000 annually
Total per child contribution cannot exceed $2,000 annually per beneficiary
TAX DEDUCTIBILITY OF CONTRIBUTION
No
DISTRIBUTION REQUIREMENTS
Required at age 70 ½
None
Qualified higher
education expenses
DISTRIBUTION
TAXATION
· Earnings are subject to taxation when withdrawn
· Contributions are subject to taxation when withdrawn
1. First-time home purchase
2. Age 59 ½
3. Death or disability
· Contributions are not subject to taxation when withdrawn
· Earnings are not subject to taxation if used for education purposes
* Penalty may be imposed for early withdrawal. In addition, early withdrawal of IRA funds requires an IRS penalty.
** Contributions can be up to $6,000 if you are 50 or older.
A closing fee may be imposed, reducing earnings on the account.