First Bank of the Lake: What Type of IRA is Best for Me?

Many people choose to retire to the Lake of the Ozarks. It can be such a beautiful place to live your retirement years at. What steps have you taken to ensure you will be financially comfortable when you retire? Our bank at the Lake of the Ozarks is here to give you a rundown of the 2 different types of IRAs we offer to help you decide which option may work best for you. If you are interested in getting your retirement plan started, please visit First Bank of the Lake today to discuss your options.

Individual Retirement Accounts (IRAs) at First Bank of the Lake

Traditional IRAs*
You may contribute up to $5,500 ($6,500 if you're age 50 or older) as long as you and/or your spouse (if filing jointly) have sufficient taxable income. You may get a tax deduction when you contribute, but your money is eventually taxed as ordinary income when you take it out. If you take it out before it is allowed (age 59-1/2), you can also incur a penalty, in addition to the tax due. You can't contribute past age 70-1/2. At age 70-1/2 you have to start taking "required minimum distributions."

Roth IRAs*
You may contribute up to $5,500 ($6,500 if you're age 50 or older) as long as you and/or your spouse have sufficient taxable income, but there are income limits above which you can't contribute. You do not get a tax deduction when you contribute to a Roth IRA, but withdrawals can be taken out completely free from income taxes, as long as you don't withdraw from the earnings on the account before the age of 59-1/2. You can contribute at any age, and you are not required to take a minimum distribution from your own Roth IRA.

*Other conditions may apply, please consult your tax advisor.

Choose the IRA That Works Best For You

Whether you are an employer looking to provide a new benefit to your employees or you are an individual looking to either start your retirement plan or add to it, our bank is Osage Beach can help you. Visit us today or give us a call at 573-348-2265 for more information.

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First Bank of the Lake - Striving For Excellence

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