IRA stands for Individual Retirement Arrangement and is an umbrella term for many types of investments.

Whether you are leaving employment, changing jobs, or retiring, you may be looking for guidance on how to properly handle employer distributions to maximize your income during retirement.

Our seven Certified IRA Services Professionals (CISP) are the region’s largest group of trained professionals who possess a thorough understanding of IRAs. Let us explain the options to you and answer any questions you may have.

Turn to The Retirement Experts®

Traditional IRA
Pre-tax or tax deductible contributions now and taxed withdrawals later. 

The Traditional IRA offers tax benefits as contributions may be tax-deductible* the year you make the contribution. For example: If you make a $5,500 contribution into a Traditional IRA this year, you may be able to reduce your taxable income by $5,500. Contributions are done on a pre-tax basis so you will be taxed in the future when you withdraw money from the IRA. If you expect to be in a lower tax bracket when you retire*, you will benefit most from a Traditional IRA. A downfall of the Traditional IRA is that once you reach age 72 you are required to start taking distributions from your account.

Roth IRA
After-tax contributions now and tax-free withdrawals later.

The Roth IRA allows you to invest after-tax dollars now, receive the growth of tax-deferred earnings, and have the principal amount tax-free* when you take distributions. Plus, your tax-deferred earnings can become tax-free if the account is open for a minimum of 5 years and one of the following events occurs: you are age 59 ½, purchase a new home, disability, or death. Consult your tax advisor. Roth IRA funds may be withdrawn penalty-free for qualified distributions*. (Withdrawals prior to investment maturity may be subject to bank penalty.)

Rollover IRA
For anyone changing jobs or leaving employment who wants to take their retirement plan with them. 

Rolling Over your Retirement Fund into an IRA

For small businesses who want to provide an alternative to a qualified profit sharing plan for their employees.

A SIMPLE IRA plan is an IRA-based plan that gives small employers a simplified method to make contributions toward their employees’ retirement and their own retirement. Under a SIMPLE IRA plan, employees may choose to make salary reduction contributions and the employer makes matching or non-elective contributions. All contributions are made directly to an IRA set up for each employee. 

SEP (Simplified Employee Pension Plan)
For small businesses or self-employed individuals who want a retirement plan for themselves or their employees.

A SEP provides employers with a simplified method to make contributions toward their employees’ retirement and, if self-employed, their own retirement. Contributions are made directly to an IRA set up for each employee. An employer may offer a SEP plan in conjunction with another defined contribution plan. This plan can be set up by any type of business, including sole proprietorships, partnerships or corporations with any number of employees.

Roth vs. Traditional: Which is right for you?

You may open an IRA at any age. 
  • It is never too late to get started. Any savings is better than no savings. If you are 50 years old and decide you need an IRA, a retirement expert will help you look at each type of IRA and decide which one may be better for you.
  • It is never too early to get started. As long as you have earned income you can open an IRA. The earlier the better because your savings will grow more the younger you are because of the greater number of years left before retirement.
  • If you have an employer-sponsored retirement plan you can also open an IRA, as long as you don’t go over the contribution limits.
  • You can open an IRA at any time of year and contribute to an IRA any time of year!

IRS Circular 230 Notice: Pursuant to Treasury Circular 230, the IRS requires us to advise you that to the extent that this message or any attachment/enclosure concerns tax matters, it is not written or intended to be used, and may not be used, for the purpose of avoiding federal tax penalties that may be imposed by law.