There are three common types of IRAs. Which is right for you depends upon your personal situation.
Traditional IRAs – Reap Tax Advantages
This can be an excellent way for you to save for retirement while helping your current income tax situation.
- Contributions may be tax deductible
- Pay no taxes on earnings until money is withdrawn
- Reap the full benefits of compounding compared to after-tax accounts
- Age and income requirements govern eligibility
- Wide range of investment choices, such as stocks, bonds, mutual funds, EFTs, UITs and more
Roth IRA – Accumulate Tax-Free Earnings
This can be an excellent tax-free way to save for your retirement.
- Contributions are made with after-tax dollars
- Earnings grow tax-free*
- Tax-free distribution at retirement*
- Income requirements govern eligibility
- Leave your money in as long as you want (no minimum distributions)
- Wide range of investment choices, such as stocks, bonds, mutual funds, EFT, UITs, and more
||Age 49 and below
||Age 50 and over
When you retire or change jobs, you have several choices regarding your employer-sponsored retirement plan
- Move your money into an IRA Rollover (or Roth Rollover)
- Transfer your money into your new employer's plan
- Keep your money in your former employer's plan
- Cash out (withdrawal penalties may apply)
An IRA Rollover may give you the most control over your money.
- Money continues to grow tax-deferred
- Access to guidance from Cetera Investment Executive
- Flexible options for beneficiaries to spread out distributions
- More investment options than you likely had in your current retirement plan
To learn more about IRA options, schedule an appointment with a Cetera Investment Executive.
*If withdrawn after age 59½ and the account has been open for 5 years or more (begins with tax year of the first contribution).
Consult your legal or tax counsel for advice and information concerning your particular circumstances. Neither Cetera nor any of its representatives can provide legal or tax advice.
Securities offered through Cetera Investment Services LLC, member FINRA/SIPC. Investments are: Not FDIC/NCUSIF insured; May lose value; Not financial institution guaranteed; Not a deposit; Not insured by any federal government agency. Cetera is under separate ownership from any other named entity.