IRA | Individual Retirement Account

You have options!

Saving for the future—whether for your own retirement or a child’s education—is a personal choice. The good news is that you have options that let you decide what works best for you and your family.

A couple looking at an electronic tablet together.

Traditional IRA

Will you have enough saved for retirement? Many people are asking this question. A Traditional IRA helps you build your retirement savings with tax-deferred growth. Contributions may be tax-deductible, reducing your taxable income today, so your investments grow without immediate tax obligations. When you retire, withdrawals are taxed as ordinary income. Start planning now and take advantage of tax-deferred savings with a Traditional IRA.

Tax deductible contributions
IRS limited contributions
Taxed withdrawals

No income restrictions
Anyone with eligible compensation qualifies
Required withdrawals begin at age 72 (or 70 ½ if you turned 70 ½ before January 1, 2020)

An elderly couple reading papers together.

Roth IRA

Will you have enough tax-free income in retirement? A common question - and with good reason. A Roth IRA lets you invest after-tax dollars now so your money can grow tax-free for the future. Unlike a Traditional IRA, qualified withdrawals—including earnings—are completely tax-free in retirement. Plus, there are no required minimum distributions, giving you more control over your savings. Invest in a Roth IRA today for tax-free income tomorrow.

Income restrictions in regulation with the IRS
Anyone with eligible compensation qualifies
Qualified distributions are tax-free

IRS limited contributions
No required annual contributions
Never required to take distributions

Coverdell ESA

Will I be able to afford to send my child to college? From newborns to high schoolers, parents are asking this question. And with good reason. By 2030, a 4-year degree at a public university is projected to top $200,000. Private education will be even higher. Invest in your child’s future with a Coverdell Education Savings Account.

Great for paying for a child's college
Cover all required expenses involved in enrollment
Pay for books, supplies, tuition, fees, room and board, and more

Any child under 18 can be a beneficiary
Earn interest by deferring taxes till distribution
IRS limited contributions

2020 Legislative Updates

The Consolidated Appropriations Act, Setting Every Community Up for Retirement Enhancement (SECURE) Act, was signed into law in December 2019, and the Coronavirus Aid, Relief and Economic Security (CARES) Act was signed into law in March 2020.

The changes effective in these two Acts may have impacted your USALLIANCE Retirement Product:

Secure Act

Repeal of the age restriction for Traditional IRA contributions
Required minimum distributions (RMDs) to begin at age 72 instead of age 70½
More rapid payouts to non-spouse beneficiaries (with some exceptions)
An exception to the 10 percent early distribution penalty tax for qualifying births and adoptions

Cares Act

Waiver of 2020 RMDs for IRA owners and beneficiaries, including those who turned age 70½ in 2019 but did not take their first RMD before January 1, 2020. Also, the year 2020 will not be counted for purposes of a five-year payout period for a beneficiary
Ability to take penalty-free coronavirus-related distributions (CRDs) of up to $100,000 in aggregate from IRAs and eligible retirement plans and repay the distributions within three years

Please contact Deposit Account Services with any questions: (800) 431-2754 ext. 1269

What our members say:

Perfect for my needs!

"Your staff is EXTREMELY competent, friendly and available. And their problem-solving skills were particularly impressive when I needed to conduct an IRA rollover into your bank that presented a few complications that your extended team investigated and solved quickly and with accuracy. So impressive! Love you all."

- Michael

Easy and helpful

Great rates, easy to follow web site. Friendly and helpful associates when you go into a branch

- Kathleen

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USALLIANCE is a non-profit, membership based, full-service financial organization.

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We do not answer to stock holders; we donʼt have any. Each member holds a share of ownership. Our decisions are aimed to better the lives of each and every member.

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Individual Retirement Accounts (IRA)

You have options!

Traditional IRA

Roth IRA

Coverdell ESA

Ready to start saving?

Open and manage accounts in Retirement Central