Traditional IRA or Roth IRA

Eligibility

Traditional IRA --Almost anyone under the age of 70 1/2 and with an earned income is eligible to establish a traditional Individual Retirement Account (IRA). A Traditional IRA can be established in addition to any type of government plan, tax-sheltered annuity, simplified employee pension plan, or a qualified plan provided by an employer. In addition, many employer sponsored plans offer limited investment options, but a traditional IRA can provide greater flexibility and hold almost any investment.

Roth IRA-- If you are one of many who expect to be in the same or a higher tax bracket in retirement, paying taxes now on a Roth IRA may save you money over the long run. Roth IRA contributions are nondeductible and taxed in the year they are earned.

It is in your best interest to seek the guidance of a tax or legal professional before contributing to a Roth IRA since the IRS has income restrictions.

Contribution Limits