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Yes, you can maintain both types of IRAs at the same time. You can even make contributions to both types of IRAs in the same year. But your contributions to both Roth and traditional IRAs cannot exceed the maximum contribution limit for all IRAs.
There are limits on the amount of income one can make during a given year—and the limits change from year to year. Please visit the IRS website for details.
Yes, members can roll their 401(k) plans from previous employers into an IRA. Please contact us for more information.
A Roth IRA is an individual retirement account created by the Taxpayer Relief Act of 1997. Roth IRA accounts are traditionally used as retirement savings accounts. They allow limited contributions to be made throughout the tax year and can be withdrawn within 5 years after establishing the account provided you are aged 59 1/2 or older.
Those who work for a living can contribute to a Roth IRA account. The income must be derived from actual work efforts and compensation in the form of wages, tips, salaries, bonuses and professional fees.
Yes, you will earn interest on the funds that are on deposit at the credit union in your Roth IRA. You can view them below.
| Term | Dividends Compounded/Credited | APY* | Earn More APY** |
|---|---|---|---|
| Choose from Traditional IRA * Roth IRA * SEP IRA | |||
| $500 Minimum Opening Balance | |||
| 18 Month† IRA | Monthly | 3.10% | 3.35% |
| 18 Month† Roth IRA | Monthly | 3.10% | 3.35% |
| 18 Month† SEP IRA | Monthly | 3.10% | 3.35% |
| 60 Month† IRA | Monthly | 2.75% | 3.00% |
| 60 Month† Roth IRA | Monthly | 2.75% | 3.00% |
| 60 Month† SEP IRA | Monthly | 2.75% | 3.00% |
| $50,000 Minimum Opening Balance | |||
| 18 Month† IRA Mini-Jumbo | Monthly | 3.15% | 3.40% |
| 18 Month† Roth IRA Mini-Jumbo | Monthly | 3.15% | 3.40% |
| 18 Month† SEP IRA Mini-Jumbo | Monthly | 3.15% | 3.40% |
| 60 Month† IRA Mini-Jumbo | Monthly | 2.80% | 3.05% |
| 60 Month† Roth IRA Mini-Jumbo | Monthly | 2.80% | 3.05% |
| 60 Month† SEP IRA Mini-Jumbo | Monthly | 2.80% | 3.05% |
Dividends Compounded and Credited: Monthly. Dividends are paid from current income and available earnings, after required transfers to reserves, after the end of the dividend period. Balance Method: Average Daily Balance Limitations: Refer to Member Services Agreement. *Fees: Refer to Service Fees. *Any APY (Annual Percentage Yield) provided in this disclosure assumes dividends will remain on deposit until maturity for accounts with terms, or for at least one year for accounts with no terms. A withdrawal will reduce earnings. Rates for variable-rate accounts are in effect through the period disclosed. See your account disclosure for additional information about your account. **The Earn More rate is applied to certificates opened by members who have open checking accounts. If you do not have a checking account, the lower "standard" rate will apply. If you open a checking account after a certificate is opened, the Earn More rate will apply only when the certificate renews. Please keep in mind, if you open a FedChoice checking account after the certificate was opened, the higher dividend rate will only apply when the certificate renews. Similarly, if you already have a FedChoice checking account and FedChoice certificates, the new higher dividend rate will only apply once the certificate renews. All rates subject to change without notice. Please call the Credit Union to confirm posted rates. Your savings are insured up to $500,000. The first $250,000 per member is insured by the National Credit Union Association (NCUA), a U.S. Government Agency, with an additional $250,000 of coverage provided by Excess Share Insurance Corporation (ESI), a private corporation. | |||
No. The amount you contribute to your 401(k) or other employer-sponsored plans will not be affected by your Roth IRA.