• Traditional and Roth IRAs available
• NCUA insured up to $250,000
• Direct rollover from IRA and 401K accounts
• Convenience of transferring funds between your other Connexus accounts
Connexus offers both Traditional and Roth IRAs to help you be as prepared as possible for retirement.
Traditional and Roth IRAs
A Traditional IRA is an individual retirement account that allows saving for retirement with tax-deferred earnings, so you won’t owe income taxes until they make withdrawals. And, if eligible, contributions can be tax-deductible. Max age is 70 1/2.
A Roth IRA is also an individual retirement account, but there’s a difference. Contributions to a Roth IRA are not tax-deductible. However, the money contributed can be withdrawn at any time, tax and penalty free. No max age unless individual has earned income.
Limits for both IRAs: up to $5,500 a year, or if age 50 or older, up to $6,500.
Connexus IRAs are considered savings IRAs, which provide fixed interest rates that are guaranteed and cannot lose money. A savings IRA would be attractive to members who desire less risk and prefer predictable terms.
Connexus offers two IRA account options and both are available as Traditional or Roth.
• Connexus IRA Supreme Accounts have variable interest rates and no fixed term (they operate like Money Market Accounts). Minimum deposit is $100, unless you perform payroll contributions, in which case there is no minimum. Contributions may also be made via direct deposit.
• Connexus IRA Certificates have fixed rates and terms, with fixed maturities like Share Certificates. This investment plan offers a higher interest rate than the IRA Supreme but requires that you commit your funds for a specified term. Minimum deposit is $5,000.
IMPORTANT: Because these accounts have many different features and the deposits are based on your personal tax situation, contact your tax or legal professional or the IRS for specific tax information or facts about state or local income taxes. This is intended to provide general information on federal regulations pertaining to Traditional and Roth IRAs. It is not meant to provide legal advice or individual tax recommendations. IRA contribution limits are determined by the IRA and apply to IRA contributions at any financial institution, not just Connexus.