Individual Retirement Accounts (IRAs)

A MembersAlliance Credit Union IRA offers several great options to help you save for your future, each with specific tax advantages. Whichever you choose, you are assured a competitive interest rate and exceptional personal service from your credit union.

Let our experts guide you so you can chose the one that best fits your particular situation and retirement goals. It's never too late to get started on the road to making your golden years secure, healthy, and happy!

For more IRA investment options, speak to one of our Investment Advisor Representatives from Klaas Financial by visiting our Investment Planning Services page.


Summary
  • Tax-advantaged retirement savings*
  • Interest rates above standard savings
  • Traditional and Roth IRAs available
  • No setup fees
  • No monthly or annual maintenance fees
  • $5,500 contribution limit per year (for 2013)
  • Additional $1,000 "catch-up" contribution allowed for ages 50+
  • Funds can be used to purchase CDs within IRA
  • A penalty may apply for early withdrawals
  • $500 minimum deposit to open
  • Visit our Investment Planning Services page for more IRA account options.

*Consult a tax advisor.

Traditional vs. Roth

Traditional vs. Roth

Traditional and Roth IRAs have distinct features and tax advantages*. Consult a tax advisor to help you pick the one that best fit your situation and retirement goals.


Traditional IRA

  • No income limits to open
  • No minimum contribution in any year
  • Contributions are tax deductible on state and federal income tax*
  • Earnings are tax deferred until withdrawal
  • Withdrawals can begin at age 59½
  • Early withdrawals subject to penalty**
  • Mandatory withdrawals at age 70½


Roth IRA

  • Need to meet income limits to be eligible
  • Contributions are NOT tax deductible
  • Earnings are 100% tax FREE at withdrawal*
  • Principal contributions can be withdrawn without penalty*
  • Withdrawals on interest can begin at age 59½
  • Early withdrawals on interest subject to penalty**
  • No mandatory distribution age
  • No age limit on making contributions as long as you have earned income

*Subject to some minimal conditions. Consult a tax advisor.

**Certain exceptions apply, such as healthcare, purchasing first home, etc.

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