Looking to save for retirement but don’t want to get your money wrapped up in the volatile stock market?  We currently offer two great ways for you to save for your Golden Years. CENT Credit Union helps you prepare for retirement with two different IRAs (Individual Retirement Arrangement).

Traditional IRA

The first is a Traditional IRA. Contributions to a Traditional IRA may be partially or fully tax deductible and are generally not taxed until they are distributed back to you. Each year, the IRS (Internal Revenue Service) sets a maximum contribution limit. These limits can vary for those over and under the age of 50. Generally, those over the age of 50 are allowed to contribute more to their Traditional IRA annually (known as a catch-up contribution) than those under the age of 50. Contributions can be made up to the age of 70 1/2, when the IRS mandates a RMD (Required Minimum Distribution), which varies according to the individual’s age and life expectancy.  

To see current Traditional IRA rates, see our Savings Rates page.

Roth IRA

CENT Credit Union also offers Roth IRAs, which are also beneficial in saving for retirement, but offer some different benefits. Unlike Traditional IRAs, Roth IRA contributions are not tax deductible. However, if you meet the requirements, Roth IRA-qualified distributions are tax-free. You can also make contributions to Roth IRAs past the age of 70 1/2 and can leave amounts in your Roth IRA for as long as you live.

While we are happy to set up and maintain IRAs, we are not tax professionals or public accountants. To decide which IRA may be best for you and your retirements plans, it is always best to consult your tax professional before setting up or making changes to your IRA account.