Individual Retirement Account
It’s never too early or too late to add some security to your retirement.
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IRA account FAQs
Yes, but when you convert a traditional IRA to a Roth, you’ll owe taxes on any money in the traditional IRA that would have been taxed when you withdrew it. That includes the tax-deductible contributions you made to the account as well as the tax-deferred earnings that have built up over the years. That money will be taxed as income for the year you make the conversion. Please consult a tax professional to see if this option is right for you.
You can add or change your beneficiaries by visiting one of our offices and completing and submitting a Designation of Beneficiary Form.
IRA contributions vary each year. For further information on contribution limits visit Internal Revenue Service (irs.gov) website.
Yes, if you’re currently investing in a 401(k) or another employer-sponsored plan, you’re still eligible to open and contribute to an IRA.
A Coverdell IRA is an IRA that allows individuals to save for their child’s education.
An IRA is an individual retirement arrangement that may provide tax advantages for you to save for retirement. Riverview offers 3 different types of IRA plans: Traditional IRA, Roth IRA and Coverdell ESA.
A Traditional IRA is a potentially tax-deferred plan. Depending on your income, a Traditional IRA may allow you to make tax-free contributions now and pay taxes on your withdrawals when you retire. A Roth IRA is a plan that allows you to pay taxes now and make tax-free withdrawals later. While almost anyone with earned income can contribute to a traditional IRA, there are income limits for contributing to a Roth IRA.
You can take money out of an IRA whenever you want, but if you’re under the age of 59½, there may be some penalties. If you withdraw money from a Traditional IRA, you may be faced with a 10% penalty on the amount you withdraw. If you withdraw from a Roth IRA, you have some flexibility. You may withdraw your contributions to a Roth penalty-free at any time for any reason, as long as you don’t withdraw any earnings on your investments (as opposed to the amount you put in) or dollars converted from a traditional IRA before age 59½. It’s always a good idea to consult a tax or financial advisor for specific information on how certain laws apply to your situation and about your individual financial situation.