Individual Retirement Account (IRA)
An IRA is a tax-deferred retirement account that permits individuals to set aside money each year with earnings tax-deferred until withdrawals begin at age 59½ or later. Earlier withdrawal is subject to a 10% penalty. Only those who do not participate in a pension plan at work or who do participate, but meet certain income guidelines, may make deductible contributions to an IRA. All others can make contributions to an IRA on a non-deductible basis. Such contributions qualify as a deduction against income earned in that year and interest accumulates tax-deferred until the funds are withdrawn. A participant is able to roll over a distribution to another IRA or withdraw funds using a special schedule of early payments made over the participant’s life expectancy. Certified Federal offers Traditional and Roth IRAs. Your IRA accounts are federally insured to at least $250,000.
To open an investment account, contact our Member Services Department at 626.444.1972, Ext. 231.