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IRAs

Traditional IRA

Altamaha FCU offers a share savings IRA that pays a monthly interest rate. Six month up to 60 month certificates are also available. A minimum of $500.00 is required to set up an IRA share certificate.

Individual Retirement Accounts are a smart way to save for the future. A traditional IRA can be opened and funded without any employer participation. Contributions and/or earnings are tax-deferred until retirement. Unlike many employer plans, money in the account is always accessible; however, early distribution may incur a 10 percent  penalty unless you meet a qualifying  exemption.  Click here to view IRS information regarding tax and penalties for early distributions.

Members under age 70 1/2 may contribute to an IRA at a maximum of $6,000.00, inclusive of Roth IRA contributions, per year for the 2019 tax year.  Members of any age may make a contribution in tax years 2020 and later, up to their earned income or the contribution limit, whichever is less. Members over 50 may contribute an additional $1,000.00 as a catch-up contribution.  For contribution limits in other years, click here.

For more information on a traditional IRA, please contact Member Services at the  nearest branch office.

Roth IRA

Roth IRAs differ from Traditional IRAs in that the money you contribute to a Roth IRA has already been taxed, so the principal amount is not subject to taxes or penalties in the future, as long as you stay within the contribution guidelines. This retirement plan allows the money you contribute to grow tax-deferred.

If you do not withdraw any of the earnings until you have had the plan for at least five years, or satisfy one of the qualifying events, those tax-deferred earnings become tax-free. Unlike the traditional IRA, there is no 70 1/2 age limit on making contributions. You simply need to have earned income equal to the amount you contribute up to a maximum of $6,000.00 per year for tax years 2019 – 2020. Members over 50 may contribute an additional $1,000.00 as a catch-up contribution.  Again, the total contribution in any tax year is inclusive of both Roth and Traditional IRA contributions.

* The Credit Union provides no legal advice to members, and provides the foregoing information from a reliable resource to give our members a basic understanding of these services. You should consult with your tax or legal adviser regarding any particular and the current status of applicable federal and state laws.