RETIREMENT ACCOUNTS Rates | Contact Us 727.431.7680
RETIREMENT ACCOUNTS
Rates | 727.431.7680
An Individual Retirement Account (IRA) is a tax-advantaged savings account that helps people save for retirement. Anyone with earned income can contribute to an IRA, and Achieva can help you plan your contributions to build your account and meet your retirement goals.
We specialize in the most popular types of IRAs, including Traditional, Roth, and Simplified Employee Pension (SEP) IRAs. Plus, you’ll receive great rates and personalized help to navigate the growth of each account.
| Traditional IRA1 | Roth IRA2 | |
|---|---|---|
| Who is this option best for? | Individuals who expect to be in the same or lower tax bracket when taking withdrawals. | Individuals who expect to be in a higher tax bracket when taking withdrawals. |
| Individuals who are eligible to deduct their contribution. | Individuals who don’t need a deduction on their taxes now. | |
| When do I pay taxes? | Enjoy tax-deferred growth now and pay taxes on your withdrawals when you retire. | Pay taxes on your contributions now and enjoy tax-free withdrawals later. |
| When can I contribute? | Contribute up to the limit at any time when earning income. No age restrictions. | Contribute up to the limit at any time when earning income. No age restrictions. |
If you’re self-employed (or work for a participating employer), a SEP plan may be the ideal way to save for retirement. With this option, your employer makes contributions to your SEP on your behalf. Ask your local branch about opening a SEP plan today.
For those closer to retirement or who want to diversify their portfolios with lower-risk options, we offer other ways to save - IRA Savings and IRA Certificates.
IRA Savings can be a savvy addition to your retirement savings plan. This variable rate account is highly liquid, allowing you to easily reallocate money to other parts of your IRA without incurring penalties or fees.2 You can contribute as often as you’d like up to IRS limits.3
With an IRA CD, you don’t pay taxes on any interest or earnings until you withdraw them during retirement. This allows your savings to grow faster since you’re not paying taxes on the gains each year. Upon maturity, you can renew the CD, transfer to a different CD term or your Achieva IRA Savings, or make withdrawals if you are at retirement age.4
Do I have to start taking distributions when I reach a certain age?
Traditional IRA – Yes. You must begin receiving required minimum distributions by April 1 of the year after you attain IRS Required Minimum Distribution (RMD) age.
Roth IRA – No. If you are the original owner of a Roth IRA, you don’t have to take distributions regardless of your age.
How are distributions taxed?
Traditional IRA – Distributions are taxed as ordinary income, but if you made a non-deductible contribution, not all of the distribution is taxable.
Roth IRA – Distributions aren’t taxed as long as you meet IRS criteria.
When can I withdraw?
Traditional IRA – You can withdraw from your Traditional IRA at any time. However, the IRS may assess a penalty on withdrawals done prior to age 59.5.
Roth IRA – You can withdraw from your Roth at any time. You may incur an IRS penalty if you are below age 59 1/2 or the funds have been in your Roth IRA less than 5 years.
1 Must establish IRA Savings with an IRA Tax Plan to open. Must be primary membership. No opening deposit required.
2 Money must stay within IRA to avoid penalties and fees.
3 Consult IRS guidelines to understand all criteria and limitations.
4 Withdrawing from a traditional IRA CD at maturity will incur taxes.