Individual Retirement Accounts
Living the good life doesn't happen accidentally. It takes careful planning and forethought. Plan your future with a Worthington Federal Bank IRA or educational savings account.
We offer traditional and Roth IRAs to help you save for your retirement years, as well as Coverdell savings accounts to provide for your child's future educational costs. Open one today and start building your savings so you can have a better tomorrow.
- Summary
- Set aside funds for retirement
- Interest bearing accounts
- Various rates and terms to choose from
- Some age and deposit limits apply
- Deposits can be tax-free or tax-deferred
- Flexible packages to meet most needs
- FDIC insured
- IRA Options
These are some of the basic details on several types of IRAs we offer. Contact us for more info or consult your tax advisor to find out which is right for you.
Traditional IRA
- Dividend earnings are tax deferred until withdrawal
- Contributions are tax deductible
- Withdrawals can begin at age 59½
- Early withdrawals subject to penalty*
- Mandatory withdrawals begin at age 70½
Roth IRA
- Dividend earnings are tax free
- Contributions are NOT tax deductible
- Principal can be withdrawn penalty-free
- Withdrawals of earnings can begin at age 59½; early withdrawals subject to penalty*
- No mandatory withdrawals
Educational IRAs/Coverdell Education Savings Account
- Interest grows tax free
- Withdrawals tax free when used for qualified education expenses
- Contributions are NOT tax deductible
- Contributions can be made until the child is 18 years old
- Funds must be distributed when recipient reaches age 30
- Contributors do not have to be related to recipient
*Certain exceptions apply. Non-penalized withdrawals include health care, buying a home, etc.
