Share Accounts :: Individual Retirement Accounts

Learn About IRA's

As millions of Americans have already discovered, IRAs are one of the best savings tools available today. More people than ever before are now eligible to take advantage of the incredible tax advantages available through IRAs.

The passing of the Economic Growth And Tax Relief Reconciliation Act of 2001 (EGTRRA) on June 7, 2001, brought about the most sweeping changes related to retirement and other savings arrangements since the Tax Reform Act of 1986. The benefits of EGTRRA include, among others:

• increased contribution limits
• catch-up contributions for individuals who attain age 50 before the end of the taxable year
• increased portability of assets between various plan types
• changes to rollover rules

At the heart of what makes IRAs such a great savings tool are the special federal tax laws governing the taxation of amounts earned within an IRA. Earnings within Traditional IRAs are generally not taxed until they are distributed from the Traditional IRA. Earnings within Roth and Education IRAs, now known as Coverdell Education Savings Accounts, are generally not even subject to federal taxes. What's more, contributions to Traditional IRAs are tax deductible for many taxpayers. Over time, these special tax features can result in significantly larger IRA savings accumulations than what can be accomplished in ordinary savings tools.

Select one of the following options to learn more about IRAs.

Traditional IRA's | Roth IRA's | Coverdell Education Savings Accounts