Personal Savings

Individual Retirement Accounts (IRAs)

Set up an IRA today and thank yourself tomorrow. IRAs not only give you an easy-to-follow path to retirement, you save with tax advantages* that help your funds grow greater in less time. Freedom National Bank can even help you roll over funds from other banks and credit unions!

Summary
  • Tax-advantaged retirement savings*
  • Competitive interest rates
  • Both Traditional and Roth IRAs available
  • No setup, monthly, or annual maintenance fees
  • $1000 minimum deposit to open
*Please consult a tax professional
Traditional vs. Roth IRA

Traditional IRA earnings are taxed at the time of withdrawal. However, whatever you contribute is deductible from that year's income tax.1 Roth IRA earnings are tax-free — though you still pay taxes on your annual income in full, regardless of yearly contribution levels.1

Consult a tax advisor to decide which IRA best suits your retirement savings!

Traditional IRA

  • No minimum contribution in any year allowing flexibility
  • Contributions MAY BE tax deductible on state and federal income tax1
  • Earnings are tax deferred until withdrawal (when usually in lower tax bracket)
  • Withdrawals can begin at age 59½
  • Early withdrawals subject to penalty2
  • Mandatory withdrawals at age 70½

Roth IRA

  • Contributions are NOT tax deductible
  • Earnings are 100% tax free at withdrawal1
  • Principal contributions can be withdrawn without penalty1
  • Withdrawals on interest can begin at age 59½
  • Early withdrawals on interest subject to penalty2
  • No mandatory distribution age
  • No 70½ age limit on making contributions as long as you have earned income1
1Subject to some minimal conditions. Consult a tax advisor.
2Certain exceptions apply, such as healthcare, purchasing first home, etc.

Start saving today — it's never too early or too late.