Retirement accounts are a secure way to keep your money for the future. Not only can you earn dividens on your money, but most IRAs are also insured up to $250,000 by NCUA. For a great way to supplement your retirement income or save for college expenses, check out what GEICO FCU has to offer.
Choose from a Traditional, Roth or Educational IRA;
- You earn a tax deduction for investing into your IRA, but you also are taxed for salaried income when you receive the payout at retirement.
- Pay for qualified college expenses. This is also exempt from early distribution penalties.
- Use up to $10k towards the purchase of your first home, hardships such as disability and certain levels of unreimbursed medical expenses may also be exempt from the penalty.
- Contribute until the age of 70 1/2.
- Contribute without income restrictions.
- No tax deductions when funds are deposited, but the distributions (or payout) for retirement are not taxed. This also applies to beneficiaries.
- Earn dividends tax free.
- Save for as long as you want to with no mandatory timeframes on when you have to withdraw funds.
- Withdraw up to $10k penalty-free to pay for your first home, five years after initial contribution.
- Contribute without age restrictions as long as you have earned income.
- Tax-deferred account with earnings and withdrawals free from federal income tax if used for qualified education expenses. Contribution limits apply.
- Educational IRAs and Educational IRA Certificates are insured separately up to an additional $250,000.
- You can still use your funds for certain qualified expenses.
*Earned income includes wages, salaries, tips, professional fees, bonuses, commissions, self-employment income, alimony, separate maintenance and other amounts that appear in Box 1 on your W-2.