Bank of Zumbrota has two IRA (Individual Retirement Arrangement) options; the Traditional IRA, and the Roth IRA.
The Traditional IRA is an account that allows you to defer taxes on the earnings on your contributions until they are withdrawn. Also, certain contributions are tax deductible in the tax year for which they are made.
The Roth IRA allows only nondeductible contributions and features tax-free withdrawals for certain distribution reasons after a five-year holding period. Since Roth IRA contributions are nondeductible and taxed in the year they are earned, people who expect to be in a higher tax bracket when they retire may benefit more from a Roth than from a Traditional IRA.
With Bank of Zumbrota's IRAs, your retirement funds are safe and insured up to $250,000 by the FDIC!
For more detailed information, see the RETIREMENT FAQs page on this website.