Arlene Fortin has always been an absolute pleasure to work with.
Individual Retirement Accounts
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 CD to mature to contribute. And when your IRA CD is up for renewal, you can add the funds that you contributed throughout the year into a CD to earn a higher rate of interest.
IRA Share Certificates:
An IRA CD is an interest-earning account that can help you save for retirement. The IRA CD contains a certificate of deposit (CD), which is an interest-earning savings account, within an individual retirement account (IRA). With a CD, 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.|
|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taxes or penalties.||Withdraw anytime, but deductible contributions are taxable and generally subject to penalties if withdrawn before age 59½.|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reached age 59½, become totally disabled, died or meet the requirements for first-time home purchase.||Taxable when withdrawn and generally subject to penalties if withdrawn before age 59½.|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||For the 2022 and 2023 tax years: If you are under age 50, you can contribute a maximum of $6,000 for 2022 and $6,500 for 2023. If you are age 50 or older, you can contribute $7,000 for 2022 and $7,500 for 2023. Depending on your income, contribution limits may be lower.||For the 2022 and 2023 tax years: If you are under age 50, you can contribute a maximum of $6,000 for 2022 and $6,500 for 2023. If you are age 50 or older, you can contribute $7,000 for 2022 and $7,500 for 2023.|
|Contribution Deadline||Your tax return filing deadline (not including extensions).||Your tax return filing deadline (not including extensions).|
Our Money Management Officer, Kassandra, was great to work with. I do not think she could do better.
This was the first time I had purchased a vehicle without going through a dealer for financing. When I went to the Credit Union I was seen immediately by the Loan Department. The Loan Officer was very knowledgeable. I was given a list of documents to gather and was promptly taken care of when I returned with them. My wife will be contacting your office about refinancing her student loans.
Our Loan Officer, Arlene, was so nice to work with. Her knowledge of the loan process and her ability to listen for what we wanted in a mortgage made the transition go smoothly. A very nice experience.