There’s no time like now to start saving for retirement. To learn more about IRAs or to open an IRA online, visit our IRA Service Center. If you have questions or want to talk to someone about opening an IRA, you can always call us at 800.232.8669 or stop by any Alliance financial center.
It’s a well-known fact that IRAs are one of the best savings tools around. More people than ever are eligible to benefit from the savings and tax advantages1 IRA investments provide.
At Alliance, we offer three types of IRAs: Traditional, Roth, and Coverdell Education Savings Accounts.
A Traditional IRA is an individual savings plan. Contributions are allowed up to a specified limit with the contribution generally tax deductible1. Anyone under age 70 who has earned income, or who files jointly with a spouse who has earned income, may contribute. Money invested in (and earned from) a traditional IRA is subject to income taxes at the time of withdrawal. Withdrawals can be made without penalty at age 59 ½. Withdrawals must begin no later than age 70 ½.
This IRA allows up to $5,500 in contributions for the current tax year. In addition, a $1,000 annual catch-up contribution may apply to individuals who reach age 50 before the end of the taxable year.
A Roth IRA is also an individual savings plan. Contributions can be made up to a specified limit like a traditional IRA but on a non-tax-deductible basis. However, all withdrawals, including earnings, are generally tax fee if the account has been open for at least five years and the account holder is 59 ½ or older. Unlike a traditional IRA, contributions to a Roth IRA can continue at and beyond age 70 ½.
Coverdell Education Savings Accounts
In addition to saving for higher education expenses, this account allows you to save for elementary and secondary education by investing up to $2,000 per year per child under age 18. Contributions are not tax deductible, but earnings grow tax free.
IRA SERVICE CENTER
Visit the IRA Service Center to learn more about IRAs, open a new IRA, or service an existing account.
Choose an IRA Savings Account or an IRA Certificate. Both offer competitive rates and no annual maintenance fees. IRAs with Alliance Credit Union are federally insured up to $250,000 separately from your other accounts by the NCUA.
 Be sure to consult your tax advisor regarding the advantages, disadvantages and limitations of various IRAs as they relate to your tax situation.