INDIVIDUAL RETIREMENT ACCOUNT (IRA)

Rely on the "People You Know" at Dawson Co-op Credit Union for great service and competitive dividend rates to help you achieve your retirement goals.

An Individual Retirement Account (IRA) is a long-term savings program designed to encourage retirement saving by individual taxpayers that may be tax deductible. Make sure to check with your tax adviser to decide on the best IRA investment option for you.

IRA OPTIONS

Traditional IRA

• We offer a variety of dividend rates and terms. Choose the IRA daily account - you can add to your account in any amount at any time (up to IRS maximums), or choose a 12, 24 or 36 month certificate to earn a fixed dividend rate.
• IRA earnings are tax deferred
• Early withdrawals made before age 59 1/2 are subject to 10% penalty unless used for qualified expenses (e.g. first home, education)
• Mandatory distributions at age 70 1/2

Roth IRA

• Choose the Roth IRA daily account - you can add to your account in any amount at any time (up to IRS maximums) or choose a 12 month certificate to earn a fixed dividend rate
• Individuals with qualified income may contribute, regardless of age
• Money contributed has already been taxed. So the principle amount is not subject to taxes or penalties in the future, as long as you stay within the contribution guidelines.
• This plan allows the money you contribute to grow tax-deferred
• No distribution requirements
• Early withdrawals of earnings are subject to 10% penalty unless used for qualified expenses (e.g., first home)
• All withdrawals, including earnings, are tax-free if the account has been open at least 5 years and are used for qualified expenses
• Dividend Rates
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