How a Traditional IRA works
A traditional IRA is an individual retirement account; contributions you make may be fully or partially tax-deductible.
Contributions grow tax-deferred, which means you are not taxed on the earnings until the funds are distributed. Withdrawals made before age 59½ are generally subject to ordinary income tax and potentially a 10% early withdrawal penalty, if an exception doesn’t apply.
Getting started with an LGFCU IRA is easy
There is a $25 minimum opening deposit and you’ll be required to maintain this minimum balance to avoid a $1 monthly service fee. There is no charge to open or service the account.
Although ongoing contributions are not required, any that you make will appear on your monthly statement. If you choose to make contributions, the Credit Union makes it easy for you using recurring Funds Transfer.
There is no minimum balance requirement to earn dividends on a Traditional IRA. Dividends are compounded daily and paid monthly. Rates and annual percentage yields (APY) are subject to change daily. Funds may not be borrowed or used as security for a loan.
Your resources: IRA Beneficiary Form