IRAs

Premium Market IRA

Our Premium Market IRA offers members a high-yield retirement option without any risk.

What’s included?

Our Premium Market IRA is a tax-privileged savings plan that allows you to earn a higher dividend.

• Monthly dividend fluctuates, depending on what the market rate is.

• Our Premium Market IRA is completely safe, secure, & insured – you won’t lose any money.

• No administrative fees.

• Choose from opening a Traditional or Roth Premium Market IRA.

• Great option for rolling over your 401k or 403b from a previous job.

• Open your Premium Market IRA online, and we can send you all of the forms to sign electronically.

• Make contributions any time you would like via online banking.

Standard IRA

Choose from a Traditional or Roth Standard IRA account to begin saving for retirement.

What’s included?

Individual Retirement Accounts (IRAs) are designed to help you save for life after retirement. At Gulf Coast Educators FCU, we offer a variety of options, which are listed below.

• Traditional IRA – Tax-deductible investment that you can benefit from after you reach the age of 59 1/2

• Roth IRA – No upfront tax deductions; distributions are tax-free when you follow the rules.

Minimum Opening Balance: $100

Minimum balance to earn dividends: $500

Deposits & Withdrawals: Deposits and withdrawals are permitted according to IRS regulations and subject to IRS penalties. Early withdrawal penalties do not apply to withdrawals made after the death of any owner of the account.

Education IRA

Our Education IRA is a Coverdell ESA that allows you to withdraw funds, tax-free, when it’s time to pay for college.

What’s included?

The beneficiary must be under the age of 18 years old.

• Contributions must be made in cash, and they’re not deductible.

• Contributors must contribute by the due date of their tax return (not including extensions).

• There’s no limit to the number of accounts that can be established for a particular beneficiary; however, the total contribution to all accounts on behalf of a beneficiary in any year can’t exceed $2,000.

• The designated beneficiary of a Coverdell ESA can receive tax-free distributions to pay qualified education expenses. The distributions are tax-free, however, only to the extent that the amount of the distributions doesn’t exceed the beneficiary’s qualified education expenses.

• For more information on Coverdell ESAs, please click here.

Traditional IRA

Contributions may be tax-deductible now, but taxes are paid when you withdraw in retirement.

No income limit to contribute (but deductions may be limited based on income).

Withdrawals are taxed as ordinary income.

May face 10% penalty + taxes on withdrawals before 591/2 (exceptions apply).

RMDs required starting at age 73.

Those who expect to be in a lower tax bracket during retirement.

Roth IRA

Contributions are made with after-tax dollars, but withdrawals are tax-free in retirement.

Income limits apply for eligibility to contribute.

Withdrawals are tax-free if the account is at least 5 years old and you're 59½ or older.

Contributions can be withdrawn anytime, tax-free and penalty-free; earnings may incur penalties if withdrawn early.

No RMDs during the account owner's lifetime.

Those who expect to be in a higher tax bracket later or want tax-free income in retirement.