The Power of an Individual Retirement Account
Taxpayers with earned income can make Traditional IRA contributions at any age.
At Security State Bank, your IRA contribution can be invested in a certificate of deposit or a savings account. You choose how much and where. Deposits up to $250,000 are FDIC insured. Once you have consulted your tax or legal professional for guidance, please contact us to start saving for your future.
Security State Bank offers both traditional and Roth IRAs.
Traditional IRA vs. Roth IRAs
| Traditional IRA | Roth IRAs | |
|---|---|---|
| Tax Benefits | Tax-deferred earnings and potentially tax-deductible contributions | Tax-free earnings and tax-free withdrawals |
| Minimum to Open | $100.00 for a savings account or $1,000.00 for a certificate of deposit | $100.00 for a savings account or $1,000.00 for a certificate of deposit |
| Eligibility | You must have earned income equal to or greater than your contribution. | You must have earned income equal to or greater than your contribution, and your modified adjusted gross income must fall within limits prescribed by the IRS. |
| Maximum Contribution | $5,500.00 annually ($6,500.00 if 50 or older) | $5,500.00 annually ($6,500.00 if 50 or older) |
| Required Minimum Distributions | After age 72 | None |
| Annual Fee | None | None |
| Low Balance Fee | $25.00 (annually, before age 72 if average yearly balance is less than $500.00) | $25.00 (annually, if average yearly balance is less than $500.00) |
| Transfer Fee | 1% fee upon transfer to another financial institution, not to exceed $50.00 | 1% fee upon transfer to another financial institution, not to exceed $50.00 |