Opening an Individual Retirement Account (IRA) at DuTrac Community can provide financial security during your retirement - and may save you tax dollars today. You may invest in an IRA share account or in one of our Certificates of Deposit (CD's).  View current IRA rates here and current CD rates here.

• No handling fees
• No service charges
• No minimum investment requirements for IRA Share Accounts
• Convenient investment products & terms

Traditional IRA 
With a Traditional IRA, you can contribute up to $5,000 for 2008.  This type of IRA is beneficial from a tax savings standpoint, as your contributions may be tax-deductible.  Members 50 and over can make an additional $1000 catch-up contribution.

Any person under the age of 70 who has earned compensation (wages, salaries, tips, bonuses, or any other amount received from performing duties) during the year that they want to contribute for and/or must be filing a joint income tax return with a spouse who has earned income compensation during the year is eligible for a Traditional IRA.

Roth IRA 
A Roth IRA allows you to contribute up to $5,000 for 2008. Contributions are not tax deductible.  Members 50 and over can make an additional $1000 catch-up contribution. This type of IRA is more flexible in that earnings can be withdrawn penalty free when:

• The funds have been in the account at least five years
• You are older than 59 1/2
• You become disabled
• You die and it's paid to your beneficiary,
• You use the money for a first-time house purchase
  ($10,000 lifetime withdrawal limit).

Withdrawals of principle balances can be withdrawn anytime.

There are income qualifications that start at $95,000 for a single filer and $150,000 for joint filers.

Coverdell Education Savings Account (formerly Education IRA)
A Coverdell Education Savings Account allows you to save for you child's educational needs.  Contributions are not tax-deductible, but earnings grow tax-free.  There are no taxes or penalties on money withdrawn to pay for qualified education expenses.  Qualified education expenses now include certain elementary and secondary education expenses.   Contributions are limited to $2,000 per year per child younger than age 18. 

DuTrac Community Credit Union does not provide tax or legal advice. You should contact your tax or legal advisor for advice regarding your situation.

Stop by any of our convenient locations or call us at (563) 582-1331 or 1-800-475-1331 for all the details about how you can stretch your retirement savings with new and improved IRA's.