An IRA (Individual Retirement Account), will help you choose the plan that is right for you. Skyline Financial Federal Credit Union can help you make the most of your investment opportunities. Depending on your choice, you may be able to take a tax deduction for a Traditional IRA contribution, or withdraw the earnings on a Roth IRA tax-free.
Traditional and Roth IRAs both allow you to grow your money while receiving tax benefits. However, there are some distinct differences. The chart below provides a useful, comparative reference. As with all tax decisions, it is recommended that you consult a tax professional to determine which product is right for your goals.
Roth vs Traditional
||Not tax deductible.
||Tax deductible, subject to certain limitations.
||Tax free, subject to certain limitations.
||Taxes are deferred until you begin withdrawing funds.
||Tax free withdrawals of original contributions; potentially tax free withdrawal of earnings if part of a qualified withdrawal.
Other Advantages of Skyline Financial IRAs
- Excellent long - term savings vehicle
- Flexible options – IRA savings, IRA share certificates
- Insured up to $250,000 by NCUA