Overview
A Traditional IRA offers a smart way to save for retirement. It provides powerful tax advantages and flexible investment options to grow your savings over the long term. Explore the benefits below that can help you achieve your retirement goals.
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BENEFITS
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Flexible Contributions
Make tax-deductible contributions up to IRS limits each year or skip years if needed.
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Tax-Deferred Growth
Watch your investment earnings grow without annual taxes until withdrawn.
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Investment Choices
Choose from diversified options to meet your specific savings objectives.
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Delayed Withdrawals
Your money can stay invested and growing until age 73.
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Estate Planning Perks
Name beneficiaries to inherit your account and reduce estate taxes.
MORE DETAILS ABOUT TRADITIONAL IRAS
Traditional IRAs from Fibre Federal Credit Union offer flexible, tax-advantaged retirement savings options.
Your money can grow over the long term without yearly taxes on earnings. You can contribute up to the annual IRS limit and enjoy immediate tax deductions on those contributions.
You must take the required minimum distributions each year starting at age 73. Qualified withdrawals after age 59-1/2 are not subject to IRS penalties.
Several terms and conditions apply to maintaining and withdrawing from a Traditional IRA.
Other features include:
Distributions—Withdrawals may incur income taxes after age 59 ½.
Federal Insurance—IRA deposits insured up to $250,000 by the NCUA.
No Income Limits—You can contribute regardless of your annual income level. Must be earned income to be eligible.
No Annual Fees—No annual account fees—save for retirement affordably.
Competitive Dividends—Make your money grow faster.
Contribution limits—As of 2023, contribute up to $6,500 yearly, or $7,500 if you are 50 or older.
Future Potential Tax Benefits—Best for those forecasting equal or lesser income later in life.
Early Withdrawal Fees—May be subject to IRS early withdrawal penalties for disbursements taken under age 59 ½.
TRADITIONAL IRA RATES
View all RatesMap Out Your Path to Retirement
Use our easy-to-use Traditional IRA Calculator to obtain a customized outlook for your unique financial situation. Get a clear picture of what it might take to achieve the retirement you envision.
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1
VISIT US
Stop in at a financial services center to open your Traditional IRA.
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2
DEPOSIT FUNDS
Start saving for your future.
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3
WATCH YOUR MONEY GROW!
Make additional contributions annually up to set limits.
When I called the customer service line I got to talk to Paula. She was wonderful! She was so helpful with a great sense of humor. Everyone needs a Paula in their life! Or, just on the other end of the phone, to make hard things a little easier. Thank you, Paula!
WHY CHOOSE FIBRE FEDERAL?
Choosing the right financial partner is essential, whether you’re just starting out or looking ahead to retirement.
As a not-for-profit cooperative, Fibre Federal Credit Union exists solely to serve our community members rather than stockholders.
By becoming a member, you will be a partial owner and gain access to a full suite of banking services.
Our members enjoy low fees, high-yield returns, and innovative tools to help achieve savings goals, large and small.
We remain committed to empowering our members to thrive financially. Discover why Fibre Federal is the local choice for all your banking needs.
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We make it easy for you to start contributing and watch your savings grow tax-free. Stop by any financial services center or submit an online request to get started.
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Withdrawals during retirement get taxed as regular income based on your tax bracket. Qualified distributions taken after 59 ½ years of age avoid penalties.
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As of 2023, the IRS sets an annual contribution limit of $6,500 for traditional IRAs or $7,500 if over age 50. These contributions can grow tax-free until used for retirement.
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Traditional IRAs frequently provide tax deductions on contributions. They also allow your funds to grow tax-deferred until you withdraw them during retirement. This powerful tax deferral can significantly boost the size of your nest egg over the long term.
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Anyone who is a member of Fibre Federal is eligible to open a Traditional IRA.
Take the First Step Towards Retirement Security
It’s never too early to start saving for retirement. Our competitive interest rates and no annual fees mean your savings can grow faster. Open a Traditional IRA today and lay the foundation for a secure future.
MORE SAVINGS OPTIONS
SAVINGS ACCOUNTS
Grow your money with a savings account that fits your needs. Compare our options and start saving today!
MONEY MARKET ACCOUNTS
Earn more on your savings with a money market account. Enjoy competitive rates and limited check-writing privileges.
CERTIFICATES
We have several options to fit your savings goals, including bump-up and high-yield certificates of deposit and more!
Assumptions
Retirement age
Calculation assumes that the year you retire, you don't make contributions. If you retire at 67, the calculation assumes your last contribution is at 66.
Inflation
Calculation assumes a 2.9% rate of inflation. This is a common measure of inflation in the U.S. is the Consumer Price Index (CPI). From 1925 through 2018 the CPI has a long-term average of 2.9% annually.
Social Security
Social Security benefits are not considered for this calculation. Social Security is based on a sliding scale depending on your income, how long you work and at what age you retire.
Pensions
Pensions are not considered for this calculation.
Rate of return
Interest compounds monthly. The interest rate specified in calculator is used to calculate your return on savings and investments during and after retirement.
Disclosure
Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues.
All Rates
| Minimum to Open | Minimum Monthly Balance | Minimum to Earn APY | Balance Method | Compounded/Credited | Current Dividend | APY |
|---|---|---|---|---|---|---|
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$5 |
$5 |
$50 |
Daily |
Monthly |
0.74% |
0.75% |
Rate is effective May 1, 2024 and is subject to change.
Also see terms for accounts.
More Features
No maximum income limits
Unlike a Roth IRA, there's no limit on income with Traditional IRAs.
Federally Insured
Get peace of mind from the added security of federal insurance up to $250,000, in addition to federal insurance up to $250,000 on your other deposits with us.
Potential Tax Benefits
Traditional IRAs can provide a current tax deduction and defer taxes on earnings. Roth IRAs can earn dividends tax-free and offer other advantages. Check with your tax advisor to see which type of IRA account is best for you and if you qualify for tax benefits.
Contributions Details
For Traditional and Roth IRAs, there's an annual contribution limit. The limit increases for members 50 years or older.
Distributions Details
Qualified withdrawals for members age 59½ or older are exempt from the 10% IRS early distribution penalty. Withdrawals may be subject to income tax. With a Traditional IRA, you must take required minimum distributions annually once you reach age 73.
Test Modal
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| Minimum to Open | Minimum Monthly Balance | Minimum to Earn APY | Balance Method | Compounded / Credited | Current Dividend | APY |
|---|---|---|---|---|---|---|
|
$5 |
$5 |
$50 |
Daily |
Monthly |
0.49% |
0.50% |
Rate is effective May 1, 2024 and is subject to change.
Also see terms for accounts.
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