Individual Retirement Accounts (IRAs)
Save for the future with a tax advantaged IRA from The Community Bank. We offer a good interest rate to help you afford the retirement you always dreamt of. There are no set-up fees or service charges, so every dollar you earn stays yours. Choose a traditional IRA that allows you to defer taxes or a Roth IRA, which may provide tax-free earnings. Whatever your retirement goals, we can help you achieve them.
- Summary
- Save for retirement
- Traditional and Roth IRAs
- No set-up or service fees
- $1,000 minimum amount to open
- Competitive interest rates
- Tax free and tax deferred
- Some age and deposit limits apply
- Penalty for early withdrawal
- Traditional vs. Roth
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Traditional IRA
Annual contributions may be tax-deductible, and interest earned is tax-deferred until distributions are taken.
- Anyone under age 70½ can open
- No annual fee or set-up charges
- Contributions may be tax deductible*
- $5,000 contribution limit per year
- Additional $1,000 "catch-up" contribution allowed for ages 50 and up
- Earnings accumulate tax-deferred*
- Withdrawals can begin at age 59½
- Mandatory withdrawals at age 70½
- Early withdrawals subject to penalty**
Roth IRA
Contributions are made from taxable income, but interest and deductions are tax-free.
- No annual fee or set-up charges
- $5,000 contribution limit per year
- Additional $1,000 "catch-up" contribution allowed for ages 50 and up
- Contributions are not tax deductible*
- Earnings and principal may be tax free upon withdrawal
- Principal may be withdrawn penalty-free at any time*
- Early dividend withdrawals subject to penalty**
- Earnings can be withdrawn penalty-free at age 59½
- No mandatory distribution age
*Consult with a tax advisor.
**Certain exceptions apply, such as healthcare, purchasing first home, etc.
