Traditional & Roth IRAs

Reach Your Retirement Goals

Do you have a dream retirement? At Waldo State Bank, our team knows how important it is to save for the retirement of your dreams. With competitive Traditional and Roth IRA interest rates, we constantly work to help you save for your future!

The Benefits of IRAs

Traditional IRAs

A Traditional Individual Retirement Account (IRA) is a tax-favored arrangement created exclusively to save for retirement. Benefits of Traditional IRAs include tax-deductible contributions, tax-deferred earnings, and tax credit when eligible.

What are the benefits of a Traditional IRA?

  • Tax-deductible contributions, if eligible.
  • Tax-deferred earnings.
  • Tax credit, if eligible.

Are distributions from a Traditional IRA ever required?

  • Traditional IRA owners must take annual distributions from their Traditional IRA's beginning the year they reach age 70-1/2.

Roth IRAs

Roth IRAs offer tax-deferred, and sometimes tax-free earnings. They also offer tax-free withdrawals of qualified distributions and tax credits when eligible. Individuals must fall within the government-defined eligible income range to be able to enroll in a Roth IRA.

What are the benefits of a Roth IRA?

  • Tax-deferred, and possible tax-free earnings.
  • Tax-free withdrawals of qualified distributions.
  • Tax credit, if eligible.

Who is eligible to contribute to a Roth IRA?

  • Roth IRA Owners must have eligible compensation (generally earned income) to contribute to Roth IRAs. In addition, Roth IRA owners whose income exceeds certain government-defined limits are not eligible. These requirements do not apply to rollover, transfer, and conversion contributions.

Are distributions from a Roth IRA ever required?

  • Roth IRA owners are not required to take distributions from their Roth IRAs.

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