Individual Retirement Accounts

An IRA is an account set up at a financial institution that allows an individual to save for retirement with tax-free growth or on a tax-deferred basis. There are three main types of IRAs – Traditional, Roth, and Rollover –each with different advantages.

• Roth IRA: With a Roth IRA, you make contributions with money you’ve already paid taxes on (after-tax) and your money may potentially grow tax-free, with tax-free withdrawals in retirement, provided that certain conditions are met.
• Traditional IRA: In a Traditional IRA, you make contributions with money you may be able to deduct on your tax return and any earnings can potentially grow tax-deferred until you withdraw them in retirement.
• Rollover IRA: A Rollover IRA is a Traditional IRA intended for money “rolled over” from a qualified retirement plan.