Individual Retirement Account (IRA)

Save for retirement today! 

Open an account online or at a convenient banking center.
 
An Individual Retirement Account (IRA) is a popular retirement plan that provides tax-advantaged savings for retirement. An IRA can be used as an effective way to supplement other long-term savings vehicles.
 
Regardless of which IRA you choose, your money grows tax-deferred and is insured up to the applicable limits provided by the Federal Deposit Insurance Corporation (FDIC).
 

IRA Savings Account - Get your savings started!

An IRA Savings Account offers you a smart way to get started saving for retirement. Begin with as little as $25. Make regular contributions that fit your budget. Arrange direct deposit or automatic transfer of your contributions to make it even easier to save.

Check out this big PLUS:
If you make at least 24 automatic transfer contributions into your IRA Savings account per year, you will earn a higher rate of interest for the next calendar year. Ask a banker for more information about this opportunity.

Open an account today.

IRA-CDs: A great retirement savings strategy!

An IRA-CD works just like any Certificate of Deposit to guarantee the growth the money in your IRA. Regardless of which IRA-CD term you choose, your money increases tax-deferred. It earns a fixed interest rate for a fixed timeframe that can range from 7 days to 10 years.
 
Your IRA-CD renews automatically, until the time you begin withdrawing funds. And it’s insured up to applicable limits determined by the Federal Deposit Insurance Corporation (FDIC).
 
IRA Investments
 
Ask a 1st Source banker or advisor for more information about IRA Investments.
 

Types of IRAs

There are three different types of IRAs with different features, benefits and rules.

Traditional IRA

  • Contributions may be tax-deductible in the year they’re made.
  • Save now, pay later: your money grows tax-free until you begin taking distributions, at which time you’ll pay taxes on both your contributions and your earnings.
  • Anyone who has an earned income can invest in a Traditional IRA-CD.
  • Consult your tax advisor for more information.

Roth IRA

  • Contributions are not tax-deductible, but distributions are generally tax-free. Anyone who has an earned income can invest in a Roth IRA – there are no age restrictions, since contributions are funded with after-tax dollars.
  • Participation in a 401(k) plan isn’t a factor in determining contribution amounts.
  • Consult your tax advisor for more information.

Coverdell Education Savings Account (ESA)

  • Contributions are not tax-deductible.
  • Withdrawals are tax-free when used for a child’s qualified higher education expenses.
  • Consult your tax advisor for more information.