Planning for the future
Individual Retirement Accounts (IRAs) are great tools to help you squirrel away money, all the while earning a sweet interest rate.
It’s always a good idea to consult your tax advisors for additional info. If they’re out of the office right now, check out the Planning for Retirement page in the Learn section of this site. (It’s pretty nifty.)
The Traditional IRA allows you to put away money for your retirement but not pay taxes on your earnings until they are withdrawn.
- Contribute up to $5,000 per year ($6,000 for those age 50 and older), depending on your earned income and tax filing status
- Contributions may be tax-deductible
- May withdraw penalty-free in certain circumstances
TRADITIONAL IRA CALCULATOR – Use this to see how contributing to a regular IRA will help you in your retirement.
The Roth IRA allows you to pay the taxes on your retirement income now instead of later.
- Contribute up to $5,000 per year ($6,000 for those 50 and older), depending on your earned income and tax filing status
- Withdrawals not required at age 70½
ROTH IRA CALCULATOR -Use this calculator to compare the Roth IRA to an ordinary taxable investment.
The Education IRA allows tax-free withdrawals for a child’s higher education expenses. Contributions are nondeductible but distributions from an Education IRA are penalty-free and tax-free.
- Contribute up to $2,000 per child, per year
- Qualified education expenses may include tuition, books, fees and computer equipment
- Funds can be transferred from one child’s account to another in the same family
Linn Area has the following investment opportunities for your IRAs:
IRA Variable Savings Account
This investment option earns monthly interest paid on the average daily balance. This account is available for periodic deposits and withdrawals.
Earn higher interest rates with an IRA Certificate. IRA Certificates are available with a minimum deposit of $1,000 and are offered at the same terms as regular certificates.