We all have goals of having a cushy retirement—and it’s never too early, or too late, to start planning for it. TFCU offers Individual Retirement Accounts, or IRAs, that’ll meet your needs and fulfill your retirement goals—whatever they may be.
What we offer:
Traditional IRA - Traditional IRAs are taxed at withdrawal, but allow tax deductions on the contributions that you make. Also, this type of IRA requires you to begin withdrawing funds at 70 ½ years of age. Effective January 2020, at 72 years of age.
Roth IRA - A Roth IRA allows you to enjoy tax-free growth but provide no tax breaks on your contributions. Your contributions also depend on the modified adjusted gross income limits. However, a Roth does not require you to withdraw at any age.
|IRA Basics||Traditional IRA||Roth IRA|
|Contributions||Up to $6,000 per year.
Up to $7,000 for age 50 and older.
|Subject to modified adjusted gross income limits.|
|Contribution age limit|
Age 70 ½; Effective January 2020 - No age limit
|Taxation||Earnings taxed at withdrawal. Contributions may be tax deductible, check with a tax advisor.||Contributions subject to taxation. Earnings grow tax-free.|
|Withdrawals||Optional beginning at age 59 ½. Mandatory at age 70 ½. Effective January 2020 at age 72.||Optional beginning at age 59 ½. No mandatory withdrawal age.|
|Early withdrawal||Penalties apply; exceptions exist for first time home purchase*, higher education expenses**, or if disabled. Consult a tax advisor for details.|
Take control of your retirement! Now it's even easier to manage your IRA account with Retirement Central. A portal designed with you in mind to make it easier for you to make contributions, request distributions, or simply learn more about planning and saving for retirement.
Visit Retirement Central today to get started.