Corning Credit Union

IRAs

IRAs

It’s never too early or too late to plan for your retirement. No matter when you start, Individual Retirement Accounts (IRAs) and Roth IRAs can be the perfect place to grow your retirement.

Prepare for the Future with Flexible Investment Options

A smart, simple investment. IRAs help you save money to supplement your pension or Social Security benefits. Choose the IRA that is right for you:

Traditional IRA

  • Contributions:
    • Annual contributions may be tax deductible - consult your tax advisor.
    • Currently, the maximum annual contribution is $5,500 per individual.
    • Members who are 50 years and older are allowed to make "catch-up" contributions of $1,000 over the regular annual contribution limit.
    • You can contribute up to age 70½ if you have earned income.
  • Earnings grow in your IRA tax-deferred until withdrawn.
  • Withdrawals are taxed as ordinary income.
  • Distributions may begin at the age of 59½, but must begin at age 70½.

Traditional IRAs: Answers to your questions (pdf)
Roth IRA vs. Traditional IRA: Answers to your questions (pdf)

 

Roth IRA

  • Contributions:
    • Contributions are not tax-deductible.
    • Currently, the maximum annual contribution is $5,500 per individual.
    • Members who are 50 years and older are allowed to make "catch-up" contributions of $1,000 over the regular annual contribution limit.
    • Contributions can be made to your Roth IRA after age 70½.
  • Earnings grow in your IRA tax-deferred until withdrawn.
  • Withdrawals are tax-free if you are over age 59½ if you buy a first-time home or if you become disabled (provided your funds have been in your account for at least five years).
  • Distributions are not required after age 70½ as with a Traditional IRA.
  • Eligibility to open a Roth IRA is based on adjusted gross income qualifications.

Roth IRAs: Answers to your questions (pdf)
Roth IRA vs. Traditional IRA: Answers to your questions (pdf)

 

Spousal IRA

  • Available as savings accounts and/or share certificate accounts.
  • Contribute an additional $5,500 for the benefit of a non-working spouse.

 

Rollover Options

  • If you are retiring or changing jobs, you can roll your retirement funds into an IRA to avoid incurring withholding and tax penalties.

IRAs are insured up to $250,000 by the National Credit Union Administration (NCUA), a U.S. Government Agency.