For banking by telephone, to find an ATM, or to speak to a Star One phone representative for assistance with this website, please call us at 866-543-5202 or 408-543-5202.
Star One Mobile App

Star One Mobile Banking
It's free and secure to use!

Get the Star One Mobile Banking app for your device.
It's free, intuitive, safe and secure to use!

View
Skip navigation

Compare IRA Accounts

No setup, administration or annual maintenance fees are charged on Star One IRA and ESA Accounts.

Set up a new IRA and get a $100 bonus

Set up a new IRA with a $2,500 minimum balance by May 17, 2021 and get a $100 bonus.*

  • Take advantage of tax benefits and tax-deferred interest
  • Have more flexibility and control over your investment
  • IRAs are separately insured up to $250,000 by the NCUA
  • Watch it grow with compounded interest and competitive rates
  Traditional IRA Account Roth IRA Account Coverdell Education Savings Account (ESA)
Qualifications: Must have earned income. There are no age restrictions. (effective 1/1/2020 SECURE Act) Must have earned income. There are no age restrictions. The designated beneficiary must be an individual under the age of 18. The age-18 limitation will not apply to any designated beneficiary with special needs.
Maximum Contributions:

2020-21:
$6,000, plus $1,000 "catch-up" contribution (if age 50 or over during the year)

2020-21:
$6,000, plus $1,000 "catch-up" contribution (if age 50 or over during the year)

2020-21:
$2,000 per beneficiary (ESA contributions do not count against IRA contribution limits)
Tax Status of Earnings: Tax-deferred until withdrawal Earnings grow tax-deferred. Tax-free on qualified withdrawals Earnings grow tax-deferred. Tax-free on qualified withdrawals
Nonrefundable Tax Credit: Up to $2000 for certain individuals—income requirements apply Up to $2000 for certain individuals—income requirements apply Not applicable
Contribution Restrictions: None if you have earned income (effective 1/1/2020 SECURE Act). However, if you are an active participant in an employer retirement plan, your contribution may not be deductible (See tax-deduction section below).

Yes, 2021 contributions phase out between $125,000 - $140,000 for singles and $198,000 - $208,000 for married couples. Married filing separate phase out: $0 - $10,000

Yes, 2020 contributions phase out between $124,000 - $139,000 for singles and $196,000 - $206,000 for married couples. Married filing separate phase out: $0 - $10,000

Yes, 2020 - 2021 contributions phase out between $95,000 - $110,000 for single tax filers and $190,000 - $220,000 for joint tax filers.

If income exceeds phase-out limit, contributions are not allowed.

 

Tax Deduction: Yes (See Traditional IRA Tax Deduction explanation chart below) No No
IRS Penalties for Early Withdrawal: None if:
- Over 59 ½
- Death or disability
- Qualified medical expenses
- Certain health insurance
- Qualified college expenses
- 1st time home purchase (up to $10,000)
- Due to IRS levy
- Birth or adoption of a child (effective 1/1/2020 SECURE Act)
None if:
- Over 59 ½
- Death or disability
- Qualified medical expenses
- Certain health insurance
- Qualified college expenses
- 1st time home purchase (up to $10,000)
- Due to IRS levy
- Birth or adoption of a child (effective 1/1/2020 SECURE Act)
None if:
- For payment of qualified education expenses
Required Distributions: Under the SECURE Act effective 1/1/2020, must begin by April 1 following year participant turns 72 Only after death of the participant Must be completed 30 days after beneficiary reaches age 30 (except for special needs children) or death
Contribution Age Limit: Under the SECURE Act effective 1/1/2020, there is no age limit None Not allowed after attaining age 18 except for special needs children

Traditional IRA Tax Deduction

Contributions up to the limit are fully tax-deductible if you are not an active participant in an employer-sponsored retirement plan.

If you are an active participant and a single tax filer, your deductibility phase-out range for tax year 2021 is $66,000 - $76,000, up from $65,000 to $75,000 in 2020.

If you are married and filing a joint return, your deductibility phase-out range for tax year 2021 is $105,000 - $125,000, up from $104,000 to $124,000 in 2020.

Note: For an IRA contributor who is not an active participant and is married to someone who is an active participant, the deductibility phase-out range is $198,000 - $208,000 for 2021 and $196,000 - $206,000 for 2020.

 

CARES Act, SECURE Act 2020 and your IRA

New legislation in 2020 brings flexibility in how you manage your Star One IRA:

  • CARES Act (Coronavirus Aid, Relief and Economic Security Act)
  • SECURE Act 2020 (Setting Every Community Up for Retirement Enhancement Act)

Contribution changes

  • Traditional IRA contributions can now be made after age 70½
  • Expanded definition of the eligible compensation for Graduate student IRA contributions

Distribution changes

  • Distributions may be taken for birth or adoption
  • Delayed age for Required Minimum Distributions (RMDs)

Learn more about the CARES Act .

Learn more about the SECURE Act 2020.


* Offer applies to new Contributory Traditional and Roth IRAs or additional contributions to existing Star One IRAs from external funds, transfer or rollover from employer plans or outside IRAs. Transfers from existing Star One IRAs and accounts do not qualify. The minimum of $2500 qualifying assets is the total amount of your deposits and transfers minus any withdrawals. Funding must occur within 90 days of IRA opening. Offer not valid for ESAs. Limit one bonus per member per 12-month period. Bonus will be deposited into your new Star One IRA. Bonus will not be reported to the IRS as an IRA contribution and any taxes related to the bonus are your responsibility. Other terms and conditions or eligibility criteria may apply. Promo Code IRA BONUS.

IRA / ESA Dividend APYs

IRA / ESA Savings

0.50

%

APY (0.50% rate)



6-Month IRA / ESA

0.50

%

APY (0.50% rate)



1-Year IRA / ESA

0.55

%

APY (0.55% rate)



2-Year IRA / ESA

0.60

%

APY (0.60% rate)



 

Open a Traditional IRA

 

Open a Roth IRA

 

Open a Coverdell ESA


IRA Information and Help


Scam and Fraud Alert

Remember that Star One employees will never call you to verify or ask for your personal information.

Providing your personal information, such as card PINs, online banking credentials or one-time passcodes, to anyone may make you responsible for any fraudulent activity that happens on your Star One accounts.