It’s never too early to plan for your retirement, and it’s never too late to invest in your future! South Bay Credit Union makes it easy, with a choice of IRAs offered with no set-up fees.

Membership Share (Depository) IRAsira
Open this IRA with a deposit as low as $5, and make periodic contributions thereafter, up to an allowable annual maximum. For Membership Share IRAs, you may choose automatic deposit options: Payroll Deduction, Direct Deposit or Automatic Transfer. While we offer IRA products we can not offer investment advice, be sure to check with your Tax Advisor prior to establishing, contributing, withdrawing, or making changes to an IRA. Ask a South Bay Credit Union IRA representative for details.

Traditional IRAs

  • Offers tax-deferred earnings and possibly tax-deductible contributions if you meet the requirements. If you and/or your spouse actively participate in an employer-sponsored retirement plan, you can deduct contributions only if your income is below certain limits. If you’re not participating in a retirement plan, your traditional IRA contribution is deductible regardless of income.
  • You can contribute if you have earned income and you will not reach age 70 1⁄2 by the end of the year. If you file a joint tax return, you can treat your spouse’s income as your own.
  • You can contribute to a traditional IRA, an employer-sponsored retirement plan, and a Roth IRA in the same year.
  • When you withdraw from a traditional IRA, your withdrawal will be treated as taxable income.
  • If you make a withdrawal before age 59 1⁄2 you generally must pay a 10% tax on early distributions. There are exceptions, such as rollovers, so ask your credit union IRA representative for more details.
  • You must begin taking required minimum distributions at age 70 1⁄2.

Roth IRAs

  • Contributions are not tax-deductible, however, you can withdraw contributions and earnings from a Roth IRA tax-free.
  • To contribute to a Roth IRA, joint filers’ modified adjusted gross income must meet IRS guidelines.
  • You can withdraw funds tax-free before retirement under certain conditions: if your funds have been in your account for at least five years, you’re older than age 59 1⁄2, you buy a first-time home, or if you become disabled or die.
  • You’re not required to start taking minimum distributions when you reach age 70 1⁄2 as with a traditional IRA. You can let your money continue to grow tax-free for as long as you like.

New IRA contribution limits:
Please check for the current contribution limits.

IRA Forms: