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Even with existing retirement plans in place, it’s always a good idea to re-evaluate your needs and goals for retirement on a regular basis. Many experts say you may need more than 80% of your pre-retirement income in a retirement plan, such as an IRA.

Investing in an individual retirement account (IRA) is one of the most beneficial ways of preparing for your future retirement. An IRA is a personal account intended for saving towards retirement with either tax-free or tax-deferred growth.

There are three primary IRA options: a Traditional IRA, Roth IRA and Rollover IRA. Each type of IRA has different advantages and disadvantages, and your specific needs and timeline will determine which is right for you.

Let's take a closer look at the different types of IRAs and how each one can benefit you.

Traditional IRA

Traditional IRA savings accounts allow you to make contributions throughout the tax year. With a Traditional IRA, your earnings from the account grow tax-deferred until you withdraw your funds in retirement. Your contributions to this type of account are tax deductible until you retire, after which your IRA will be treated as taxable income.

Many people find they are in a lower tax bracket post-retirement. With a Traditional IRA, you'll likely find that you pay less taxes on your retirement savings income than you did on your previous working income.

Roth IRA

The biggest difference between a Traditional IRA and a Roth IRA account is how your contributions are taxed. If you opt for a Roth IRA, your withdrawals won't be taxed but your contributions will be. In this sense, the Roth IRA has the opposite taxing of the Traditional IRA.

For many people, a Roth IRA is more advantageous and useful if they will be in a higher tax bracket post-retirement.

Rollover IRA

A Rollover IRA works like a Traditional IRA that is set up specifically for contributed funds that are being "rolled over" from a different, qualified retirement plan. This is commonly used when moving eligible assets from a 401(k) or 403(b), a retirement account that is employer-sponsored, into an IRA.

If you do not currently have any such plans, you can still set up either a Traditional IRA or Roth IRA. Whichever route you choose to take, IRAs allow your savings to grow more quickly with less tax liability, which means more financial stability when you will need it most.

Saving for Retirement With Inter National Bank

Whether you have already started saving for retirement or not, Inter National Bank (INB) can start preparing for your financial security. An IRA account at Inter National Bank is FDIC- insured and has guaranteed rates of return, making it a safe and sensible investment. You get fixed rates, no management fees and quarterly compounded interest. Available terms include 18, 24 and 36 months with a minimum opening deposit of $1,000.

Plus, you can rollover funds to INB's IRA from eligible employee retirement plans like 401(k), 403(b) or 457(b) governmental plans.  You can also transfer the funds from an existing IRA or a new IRA at Inter National Bank.'

Contact a Personal Banker at INB by clicking here

One of our Bankers will contact you soon about opening an IRA account.