Individual Retirement Accounts (IRAs)
Enjoy a relaxing retirement by setting aside in an IRA share account early. Enjoy competitive dividends and tax advantages associated with our retirement plans.
Choose from our traditional or Roth options and benefit from several benefits each plan provides. Spend less of your retirement pondering finances and more of it enjoying your perfect fishing spot—easy with the help of an IRA from Coulee Dam Credit Union.
- Tax-advantaged retirement savings*
- Competitive dividends above standard savings rates
- Traditional and Roth IRA options
- Low $10 maintenance fee
- Low $4 setup fee
- $5,000 contribution limit per year (2012)
- $5,500 contribution limit (2013)
- Additional $1,000 "catch-up" contribution allowed for ages 50+
- Funds can be used to purchase CDs within IRA
- $5 minimum deposit to open IRA Share
- $500 minimum deposit to open IRA certificate
*Consult a tax advisor.
- Traditional vs. Roth
There are advantages to both traditional and Roth IRAs. One of the biggest differences is the time at which you see the most advantage. A traditional IRA provides potential tax relief today, while a Roth IRA has the potential for the most tax benefit at time of retirement.
- No maximum income limits to open
- No minimum contribution requirement
- Contributions are tax deductible on state and federal income tax*
- Earnings are tax deferred until withdrawal (when usually in lower tax bracket)
- Withdrawals can begin at age 59½
- Early withdrawals subject to penalty**
- Mandatory withdrawals at age 70½
- Income limits to be eligible to open Roth IRA***
- Contributions are NOT tax deductible
- Earnings are 100% tax free at withdrawal*
- Principal contributions can be withdrawn without penalty*
- Withdrawals on dividends can begin at age 59½
- Early withdrawals on earnings 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.
***Consult a tax advisor.