Individual Retirement Account (IRAs)
After 40+ years of working, you owe it to yourself to enjoy a comfortable retirement. Make sure you get one with an IRA from Lee Bank. There are no setup or maintenance fees, and you’ll earn interest rates that blow regular savings rates out of the water!
So travel the world — or take the grandkids out to the Virginia Creeper Trail more often — knowing that you have the funds to enjoy life more and worry about finances less.
- Competitive interest above standard savings rates
- Traditional and Roth IRA options
- No setup fees
- No monthly or annual maintenance fees
- $5,500 contribution limit per year
- Additional $1,000 "catch-up" contribution allowed for ages 50+
- May receive tax advantages*
- Funds can be used to purchase CDs within IRA
- Deposits automatically renewable at the bank’s current transfer rate
- Early withdrawal penalties may apply**
- No minimum opening deposit required to earn a variable interest rate
- $500 minimum opening deposit required to earn a fixed interest rate
There are advantages to both traditional and Roth IRAs. One of the biggest differences is the time at which you see the most advantage. A traditional IRA provides potential tax relief today, while a Roth IRA has the potential for the most tax benefit at time of retirement.
- No income limits to open
- No minimum contribution requirement
- Contributions are tax deductible on state and federal income tax*
- Earnings are tax deferred until withdrawal (when usually in lower tax bracket)
- Withdrawals can begin at age 59 ½
- Early withdrawals subject to penalty**
- Mandatory withdrawals at age 70 ½
- Income limits to be eligible to open Roth IRA***
- Contributions are NOT tax deductible
- Earnings are 100% tax free at withdrawal*
- Principal contributions can be withdrawn without penalty*
- Withdrawals on interest can begin at age 59 ½
- Early withdrawals on interest subject to penalty**
- No mandatory distribution age
- No age limit on making contributions as long as you have earned income
*Subject to some minimal conditions. Consult a tax advisor.
**Certain exceptions apply, such as healthcare, purchasing first home, etc.
***Consult a tax advisor.
*Consult a tax advisor.
**The following early withdrawal penalties may apply:
18 Month's -36 Month's: 3 Month's Interest
Over 36 Month's: 6 Month's Interest