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IRA's

Individual Retirement Accounts (IRA)

We offer NO-fee IRAs; Traditional, Roth and Coverdell Education Savings Accounts. You can save for retirement within an IRA share savings, or earn a higher dividend with a 3 mo / 6 mo / 12 mo / 18 mo / 24 mo / 36 mo certificate. NCUA insures each member's IRA up to $250,000 - This insurance is separate from the $250,000 each member receives for regular share-savings. For your convenience, we have listed a few of the features of our IRA accounts. We have a specialist waiting to speak with you if you would like to learn more.

Traditional IRA - funds can be withdrawn after age 59 ½ without a penalty. By age 70 ½ you are required to make yearly withdrawals. One of the advantages of this type of IRA is the contributions you make may be tax deductible. Principal and interest earned are tax deferred until funds are withdrawn

Roth IRA - contributions are not tax deductible but withdrawals are completely tax free if the account holder has had a Roth account for more than five years and is age 59 ½. Contributions can still be made after age 70 ½ and no withdrawals are required during the account holder’s life.

Coverdell Educational Savings - gives flexibility to families saving for college tuition and other school expenses. Up to $2,000 per year may be deposited for each child under age 18. Anyone can make a contribution – parents, grandparents, relatives, and friends. These contributions are not tax deductible, but dividends earned are tax free. If the funds not used for one child, they may be transferred to another child within the family.

General Information

There are some IRS exceptions for early withdrawal penalties for both types of IRAs such as: the holder becomes permanently disabled, first time home purchase and higher education expenses. The maximum annual contribution allowed is $5,000. However, if you are age 50 or older, you may make an additional $1,000 contribution annually.