IRAs

Saving for retirement is one of the most important steps in creating a solid financial plan.  Fidelity Bank’s low-risk Traditional and ROTH IRAs help you reach your goals while gaining tax advantages along the way.

Traditional Individual Retirement Account

If you are under 70½ years of age and have earned income, you can build a retirement fund with an IRA. A Traditional IRA allows certain individuals to receive a tax deduction in the year they make a contribution. Owners receive an added advantage if they are in a lower tax bracket at the time of withdrawing the funds.
 
  • Fixed Interest Rate Based on the Term of the Certificate
  • No Monthly Service Fee
  • $100 Minimum Opening Deposit
  • Terms from 7 days to 95 months
  • Withdrawal
    • If you are under 70½ years of age and have earned income, interest earned is not subject to federal income tax until it is withdrawn. Also, depending on your income, your contribution could be partially or fully tax deductible.
    • Bank penalty for early withdrawal
    • IRS penalty for early withdrawal
    • Convenient distribution options are available once account holder has reached 59½ years of age.
 

ROTH Individual Retirement Account (ROTH IRA)

A ROTH IRA does not allow a tax deduction in the year of making the contribution; however, the owner of a Roth IRA does not pay tax on earnings when making qualified withdrawals. Roth IRAs are especially advantageous for individuals who may have substantial taxable income during their retirement years.
 
  • Fixed Interest Rate Based on the Term of the Certificate
  • No Monthly Service Fee
  • $100 Minimum Opening Deposit
  • Terms from 7 days to 95 months
  • Withdrawal 
    • Bank penalty for early withdrawal
    • IRS penalty for early withdrawal
    • ROTH IRAs allow non-deductible contributions and tax-tree withdrawals.
  • As long as you have earned income, the 70½ years of age rule does not apply.