We give advice based on what's best for your retirement, not our own. Individual Retirement Accounts (IRAs)Earn +50 PointsWhat is This?Individual Retirement Accounts (IRAs) are a smart way to save for your future. With disciplined savings and tax advantages, an IRA can help you reach a more secure and comfortable retirement. Affinity Investment Services1 can help you choose the products best suited to your needs. Why should IRAs be part of your retirement plan? Tax-deferred growth: your IRA earnings are not taxed each year, providing more growth potential. Accumulate more: your IRA will grow faster over time since earnings are compounded. Supplement a 401(k): you can contribute to an IRA to supplement your retirement savings even if you already have a 401(k). Numerous investment options: your IRA can include mutual funds, stocks, bonds, and CDs. Availability: anyone who works (or their spouse) can contribute to an IRA. Contact a Financial Consultant Traditional vs. Roth IRAs: Which is right for you?Traditional and Roth IRAs have the same maximum annual contribution limits (for 2018 $5,500/year under age 50 and $6,500/year age 50 or older; for 2019 $6,000/year under age 50 and $7,000/year age 50 or older) and both have options for rollover from employee retirement plans, but there are a few differences to keep in mind. Anyone who has a Traditional IRA, SEP-IRA, or distributions from many types of employer retirement plans can convert their savings to a Roth IRA. Traditional IRA Roth IRA Contributions are tax deductible (certain limitations apply) Contributions are not tax deductible Earnings are tax-deferred (withdrawals will be taxed as ordinary income, future tax rate will apply) Earnings are tax exempt (free from taxes when withdrawn) No contributions after age 70½ Can contribute at any age Required minimum distributions after age 70½ No required minimum distributions Early withdrawal penalty before age 59½ (exceptions may apply) No penalty on early withdrawals of principal Available to everyone (restrictions on tax deductible contributions apply) Not available to everyone (single-filers with a max of $135k modified AGI for full contribution, married-filers up to $199k modified AGI for full contribution) Rollover IRAsIf you are retiring, leaving your current job for greener pastures or simply want to consolidate existing retirement accounts, you may have a range of options at your disposal. No matter where you are with your retirement plan, Affinity's Financial Advisors can help you choose what's best for your needs. Options may include: Roll over your existing assets into an IRA plan. Leave your assets in your former employer's plan, if allowed. Move assets to a new employer's plan, if allowed. Cash out your assets in a lump-sum distribution (may be subject to federal income tax withholding, and additional penalties). Securities and advisory services are offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC). Insurance products are offered through LPL or its licensed affiliates. Affinity Federal Credit Union and Affinity Investment Services are not registered as a broker-dealer or investment advisor. Registered representatives of LPL offer products and services using Affinity Federal Credit Union, and may also be employees of Affinity. These products and services are being offered through LPL or its affiliates, which are separate entities from, and not affiliates of, Affinity Federal Credit Union or Affinity Investment Services. Securities and insurance offered through LPL or its affiliates are: Not Insured by NCUA or Any Other Government Agency Not Credit Union Guaranteed Not Credit Union Deposits or Obligations May Lose Value The LPL Financial registered representatives associated with this website may discuss and/or transact business only with residents of the states in which they are properly registered or licensed. No offers may be made or accepted from any resident of any other state.