All IRAs require a $25.00 minimum deposit. IRA
certificates are available with a minimum deposit of $500.00.
A traditional IRA is a tax deductible retirement saving account. Earnings
and contributions grow tax deferred until they are withdrawn. Contribution
limits do apply. Withdrawals can be made at 59 ½ without
penalty and mandatory withdrawals begin at age 70 ½.
The contributions to a Roth IRA are pre-tax funds, thus when they
are withdrawn, income tax is not withheld. Early withdrawal
penalties do apply before retirement age of 59 ½ .
Saving for a child’s private or college education is a daunting
task. Coverdell Education Savings Accounts make it easier
for parents and family members to contribute to the child’s
future. A
contribution limit applies and the earnings are tax deferred.
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