D.C. Teachers Federal Credit Union offers two
different kinds of Individual Retirement Accounts (IRAs):
• Traditional IRAs
• Roth IRAs
Each is available as either a Regular Share Account
or a Share Certificate. And you can make deposits automatically
to either of them by using payroll deduction.
Traditional IRAs
Traditional IRAs give you a reliable source of income when you retire
and may give you a tax break now. Eligible taxpayers can deduct
as much as $5,000 worth of contributions to their accounts from
their income taxes. (Taxpayers over 50 can deduct $6,000.) Your
eligibility will depend on your income, among other factors. You
must start making withdrawals when you turn 701/2. You'll have to
pay taxes on the deductible contributions and the interest they
earned when you make your withdrawals.
Roth IRAs
While you can't deduct contributions to Roth IRAs, you can avoid
paying taxes on your earnings. You can make tax-free withdrawals
starting at age 591/2 if it's been five years since you opened the
account. You're not required to make withdrawals at any age.
Contribution limits are the same as for Traditional
IRAs.
See our current rates.
Use our Retirement
Savings Calculator to make sure you're saving enough for retirement.
See our current
service charges
Account Terms, Disclosures
& Agreements
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