IRAs Comparison Chart

Here are two great IRA savings options. See how they compare. Then you’ll be ready to start achieving your retirement goals.

 
Description
Contributions
Tax-Deductible Contributions
Qualified Withdrawals
Required Minimum Distributions/Withdrawals
Penalties for Non-Qualified Withdrawals
Contribution Age Limit
Rollovers/Conversions
Account Options
Covered by NCUA Insurance
Owners' Dividend Eligible
Description

Save for retirement with pre-tax dollars

Contributions

Made with pre-tax dollars–contribution limits apply

Tax-Deductible Contributions

May be tax-deductible with specific eligibility requirements–consult your tax advisor

Qualified Withdrawals
  • Taxed as ordinary income
  • No penalty if over age 59½, first home purchase, or for qualified education expense
  • Some restrictions apply–consult your tax advisor
Required Minimum Distributions/Withdrawals

Required to take withdrawals at age 70½

Penalties for Non-Qualified Withdrawals

Subject to 10% IRS penalty prior to age 59½

Contribution Age Limit

No contributions allowed after age 70½

Rollovers/Conversions

Can roll over 401(k) to a Traditional IRA

Account Options
  • Money Maker Account and Certificates
  • More options available through ESL Investment Services, LLC
Covered by NCUA Insurance

Yes

Owners' Dividend Eligibility

Yes

Description

Save for retirement with funds that have already been taxed

Contributions

Made with money that has already been taxed–contribution limits apply

Tax-Deductible Contributions

Contributions are not tax-deductible–money has already been taxed

Qualified Withdrawals
  • Tax-free and IRA penalty free
  • No penalty if over age 59½, first home purchase, or for qualified education expense
  • Some restrictions apply–consult your tax advisor
Required Minimum Distributions/Withdrawals

No required withdrawals

Penalties for Non-Qualified Withdrawals

Subject to 10% IRS penalty prior to age 59½

Contribution Age Limit

No age limit

Rollovers/Conversions

Cannot roll over 401(k) or lump-sum distributions directly to a Roth IRA

Account Options
  • Money Maker Account and Certificates
  • More options available through ESL Investment Services, LLC
Covered by NCUA Insurance

Yes

Owners' Dividend Eligibility

Yes