IRA’s
National Bank offers both Roth and Traditional IRA’s. So
whether you are looking for a tax-free or tax-deferred
investment, we have what you need. We offer a variety
of CD’s for you to choose from.
Plant your IRA dollars today and watch them grow!
18 Month Variable Rate
This CD comes due every 18 months, but the rate changes
twice a year, January 1st and July 1st. The rate is determined
by the 30 month CD rate plus 1/2% on those dates. Customer
can make a minimum of $10.00 deposit to the account up to
their contribution limit. Interest is compounded daily and posted
monthly to the account.
Fixed Rate Products
Each fixed product takes $500.00 minimum deposit, up to their
contribution amount. The rate at the time of the deposit will
be the rate in effect until the CD reaches maturity, it will then
automatically renew for the same term at the rate in effect at that
time. Interest is compounded daily and posted quarterly to the
account. We offer the following terms for our fixed products:
12, 18, 24, 30, 36, 48 and 60 months.
All IRA’s require a minimum $500.00 to open. See our current
rate sheet for the rates. Before making any investment, you
should check with a qualified tax advisor on which IRA is right
for you.
Traditional IRA’s
Roth IRA’s
Eligibility
Eligibility
Must be younger than 70.5 the entire tax year and have
compensation.
Compensation and be within the MAGI limits
How Much Can You Contribute
How Much Can I Contribute
2015: $5,500, 2016: $5,500
for those 50 and older an additional $1,000 per year
2015: $5,500, 2016: $5,500
for those 50 and older an additional $1,000 per year.
Must have 100% compensation & you can not contribute more than your limit
between A Roth & Traditional
See MAGI chart for limits
Must have 100% compensation & you can not contribute more than your limit
between A Roth & Traditional
Taxation
Taxation
Contributions are tax deductible and earnings grow tax
deferrred until withdrawn from the acount.
All contributions may not be tax deductible if you or your spouse
partificipate in a 401k
Withdrawals
After you reach the age of 59.5, you may withdraw funds from
your IRA without a penalty*
Certain exceptions do apply such as 1st time home buyer, death, disability,
higher education, certain medical expenses, certain insurance premiums, IRS
Levy & equal periodic payments.
Contributions are non-deductible and earnings are tax free if
taken for the following reasons and the 5 yr holding period has
been met : 59.5, death, disability and 1st time home buyer.
1 year holding period begins with the tax year of your first contribution
Penalties
A penalty* will not apply to any of the following
distribution reason:
Equal periodic payments, qualified reservist, certain medical expenses,
certain insurance premiums, higher education, IRS Levy, 59.5, death,
disability, 1st time home buyer.
*Refers to government penalty. Bank penalty may still apply
At age 70.5 you must begin taking a required distribution
*Refers to government penalty. Bank penalty may still apply
national-bank.com • 1-800-717-3991
National Bank is headquartered in Hillsboro, Illinois with 11 branches covering much of South Central Illinois.