Roth IRA Account Online - Star One Credit Union

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Open an IRA and get a $100 Bonus

Open a new IRA plan with a minimum $2,500 balance (or contribute a minimum $2,500 to your existing IRA using non-Star One funds) by July 15, 2020 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

Roth IRA Accounts may offer greater tax savings and withdrawal flexibility than a Traditional IRA. Both Contributory and Conversion plans are available.

While Roth IRA contributions are not tax-deductible, contributions and earnings can be withdrawn tax-free on qualified distributions.

Roth IRA Accounts have no mandatory annual distribution requirements and you can contribute beyond age 70½. Eligibility depends on income.

CARES Act, SECURE Act 2020 and your IRA

The 2019 income-tax filing and payment deadline has been extended to July 15.

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

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

Contribution changes

2019 IRA contributions may be made as late as July 15
Traditional IRA contributions can now be made after age 70½
Expanded definition of the eligible compensation for Graduate student IRA contributions

Distribution changes

Coronavirus-Related Distributions (CRDs) up to $100,000 are allowed—exempt from the 10-percent early-distribution penalty tax
Distributions may be taken for birth or adoption
Delayed age for Required Minimum Distributions (RMDs)
Individuals will not be required to take their 2020 required minimum distributions (RMDs)

Learn more about the CARES Act .

Learn more about the SECURE Act 2020.

Roth IRA Accounts

No IRA setup, administration or annual maintenance fees
Convenience of payroll allocations and automated deposits
Automatic IRA distributions available
10-business-day grace period and automatic renewal on Certificate Accounts
Competitive IRA interest rates
Knowledgeable, qualified staff
Monthly statement

Roth IRA Account Summary

Qualifications:

Must have earned income. There are no age restrictions.

Maximum Contributions:

2020: $6,000, plus $1,000 "catch-up" contribution (if age 50 or over during the year)
2019: $6,000, plus $1,000 "catch-up" contribution (if age 50 or over during the year)

2019 Contribution Deadline:

July 15, 2020

Tax Status of Earnings:

Earnings grow tax-deferred. Tax-free on qualified withdrawals.

Contribution Restrictions:

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

Yes, 2019 contributions phase out between $122,000 - $137,000 for singles and $193,000 - $203,000 for married couples. Married filing separate phase-out: $0 - $10,000

Tax Deduction:

IRS Penalties for Early Withdrawal:

None if:

Over 59½
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)

Required Distributions:

Only after death of the participant

Contribution Age Limit:

None

Roth IRA Investment Options

Savings Account - $100 minimum deposit or $25 with automated deposits
Certificate Accounts - $100 minimum deposit or $25 with automated deposits, 6-month, 1-year and 2-year terms

Traditional and Roth IRA Accounts are separately insured to $250,000 by the National Credit Union Administration, an agency of the United States Government. Coverdell Education Savings Accounts are insured under the same provisions as irrevocable trust accounts.

* IRA bonus offer applies to new traditional and Roth IRA plans, transfer or rollover from employer plans or outside IRAs. Transfers from existing Star One IRAs 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. Minimum qualifying balance must remain in the IRA for at least 180 days or the length of the certificate term, whichever is longer; otherwise, we may charge back the amount of the bonus awarded to the account. 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.