I was overall pleased with my experience. Jessica, our Money Management Officer, was easy going and very professional. She understood my circumstance, had compassion and a genuine, caring, pleasant persona for my situation.
SFCU Member
Individual Retirement Accounts (IRA)
PLANNING, SAVING, AND INVESTING FOR RETIREMENT
Somerset Federal Credit Union offers Traditional and Roth IRA products to its members.
IRA Share Account:
A regular Savings account with an IRA that allows you to make contributions throughout the year. You don’t have to wait for your IRA Term Share Certificate to mature to contribute. And when your IRA Term Share Certificate is up for renewal, you can add the funds that you contributed throughout the year into a Term Share Certificate to earn a higher rate of interest.
IRA Term Share Certificates:
An IRA Term Share Certificate is an interest-earning account that can help you save for retirement. The IRA Term Share Certificate contains a Term Share Certificate, which is an interest-earning savings account, within an Individual Retirement Account (IRA). With a Term Share Certificate, you invest your savings for a set amount of time — whether for six months or six years. Penalties may apply for early distributions.
| Roth IRA | Traditional IRA | |
|---|---|---|
| Income Eligibility | May contribute if modified adjusted gross income (MAGI) does not exceed income limitations. You must have U.S. earned income. | No income limit restrictions on contributions. You must have U.S. earned income. |
| Age Restrictions | None. | None. |
| Tax Deductibility | Contributions are never deductible. | You may be eligible to deduct all or a portion of your contributions. Deductibility depends on your income, filing status, whether you and/or your spouse are covered by a retirement plan at work, and whether you receive social security benefits. |
| Withdrawal of Contributions | Withdraw anytime without taxes or penalties. | Withdraw anytime, but deductible contributions are taxable and generally subject to penalties if withdrawn before age 59½. |
| Withdrawal of Earnings | Tax and penalty-free if a qualified withdrawal. A qualified distribution is tax-free if taken at least 5 years after the year of your first Roth contribution and you've reached age 59½, become totally disabled, died or meet the requirements for first-time home purchase. | Taxable when withdrawn and generally subject to penalties if withdrawn before age 59½. |
| Required Minimum Distributions (RMDs) | None during your lifetime. | Please note different RMD rules apply to inherited IRAs. For questions related to inherited IRAs please speak with your tax or legal professional. |
| Contribution Limits | Depending on your MAGI, you may be able to contribute up to $7,000 for 2024 and for 2025, or $8,000 if you are age 50 and older. Regular contributions to both Traditional and Roth IRAs in aggregate cannot exceed these limits, and contribution cannot exceed your annual compensation. | You can contribute up to $7,000 for 2024 and 2025, or $8,000 if you are age 50 and older. Contributions cannot exceed your annual compensation. |
| Contribution Deadline | Your tax return filing deadline (not including extensions). | Your tax return filing deadline (not including extensions). |
Please refer to our Rates page for more information or contact a member service representative at 508-678-2851.
I sincerely appreciate the personalized experience we receive from all of the staff at SFCU, whether it be the person greeting you at the front door, the tellers, the staff that helps with notarizations, mortgages or wire transfers. I have dealt with all of these areas at the Credit Union and have always been assisted in a timely, friendly and helpful manner. It is by far the best bank/credit union I do and have ever done business with.
SFCU Member
I have been a member for a very long time. I am always satisfied with whatever I need to do at the Credit Union. The staff is always accommodating and courteous. The hours of operation are also very convenient.
SFCU Member
Our Money Management Officer, Kassandra, was great to work with. I do not think she could do better.
SFCU Member