Withdraw retirement funds without tax penalties
A Roth IRA has the unique benefit of letting the owner earn and withdraw dividends without federal taxation as long as the account has been open for at least five years and the saver is at least 59-1/2 years old. A Traditional IRA can be converted to a Roth IRA if you pay taxes on the converted funds. Additionally, your beneficiaries might also qualify for tax-free distributions
There are no trustee fees on NGFCU IRAs, so all the dividends work for you.
A Roth IRA may be right for you if:
- You want to deposit after-tax dollars into an account that earns dividends free from federal taxes.
- You want to withdraw contributions and dividends without incurring federal taxes or penalties.
- You want to continue making contributions at age 70-1/2.
- You want to choose whether or not to take distributions after age 70-1/2.
- You want to contribute the maximum for your income level, provided you have earned income at least equal to the Roth IRA contribution.
Start saving for retirement today
An NGFCU member service representative can help you complete the simple forms needed to establish your IRA. Send us your info to get started.