Individual Retirement Accounts (IRAs)

Individual Retirement Accounts (IRAs)
Summary

Instead of flying out of orbit in your old age, prepare for a safe future landing. The best time to save for your retirement is right now, while you're still earning income. IRAs provide tax advantages* that you won't enjoy with other savings accounts.

Astera offers different plans to serve different financial goals: Roth, traditional, and Coverdell Education Savings Accounts. Talk to an Astera representative about our IRA options, and we'll help direct the flight into your golden years. Check out this informative brochure to understand some of the basics of IRAs, this brochure to understand federal IRA eligibility rules, and this brochure to help compare IRA types and find the best fit for your bright future.

Details:

  • Tax-advantaged* way to save for retirement
  • Competitive dividends above regular savings rates
  • Minimum balance requirement depends on account
  • No set up or maintenance fees
  • $5,250 contribution limit per year
  • Additional $1,000 "catch-up" contribution for ages 50+
  • Different accounts available for different needs:
  • Traditional offers higher limits and new penalty waiver
  • Roth offers flexibility and no withdrawal requirement at age 701/2
  • Coverdell Education Savings Account to save for post-secondary education for children under age 18
  • Certificates of deposit combine the value of a CD with the tax benefits of an IRA
  • Free Online Banking
  • Free Mobile Banking and Text Banking
  • Free e-statements available
  • NCUA insured up to $250,000
  • Minimum balance to open depends on IRA type
  • Talk to an Astera representative about opening an account today!

*Consult your tax advisor.

Traditional, Roth, Coverdell

Traditional IRA

  • Anyone under age 70½ may open
  • 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

Check out this informative brochure on opening a Traditional IRA.

*Consult with a tax advisor

**Certain exceptions apply, such as healthcare, purchasing first home, etc.

Roth IRA

  • Contributions are NOT tax deductible
  • Earnings are 100% tax free at withdrawal
  • Principal contributions can be withdrawn without penalty*
  • Withdrawals on interest can begin at age 59½
  • Early withdrawals on interest subject to penalty**
  • No mandatory distribution age

Check out this informative brochure on opening a Roth IRA.

*Subject to some minimal conditions.

**Certain exceptions apply, such as healthcare, purchasing first home, etc.

Coverdell Education Savings Account

  • Tax-advantaged* savings account especially for higher education
  • Earn competitive dividends that grow tax-free*
  • Withdrawals are tax-free* when used for qualified medical expenses (tuition, fees, books, board, etc.)
  • Annual contribution limits per child
  • Contributions are not tax-deductible
  • Contributions can be made by anyone up until the child is 18
  • Mandatory distribution of funds when recipient reaches age 30
  • NCUA insured
  • Check out this informative brochure on opening a Coverdell Education Savings Account

*Consult your tax advisor.