Planning for Retirement Starts with Understanding Your Options

Saving for retirement is one of the most important long-term financial goals for many individuals and families. An Individual Retirement Account (IRA) can help you build retirement savings over time while offering flexible options and potential tax advantages.

Whether you’re beginning your retirement journey or looking to strengthen your current savings strategy, understanding how IRAs work can help you make more informed financial decisions.

What Is an IRA?

An IRA is a personal retirement savings account that allows individuals to contribute money each year to help prepare for retirement. Depending on the type of IRA you choose, your savings may grow tax-deferred or provide tax-free qualified withdrawals in retirement.1

IRAs are commonly used alongside employer-sponsored retirement plans or as an additional savings option for individuals focused on long-term financial security.

Common Types of IRAs

There are two primary IRA options: Traditional IRAs and Roth IRAs.

Traditional IRA

A Traditional IRA may allow eligible individuals to make tax-deductible contributions.1 Earnings grow tax-deferred, meaning taxes are generally paid when funds are withdrawn during retirement.

This option may be a good fit for individuals who:

• Want potential tax deductions today 
• Expect to be in a lower tax bracket during retirement 
• Prefer tax-deferred retirement growth 

Roth IRA

A Roth IRA is funded with after-tax dollars, but qualified withdrawals during retirement are generally tax-free.1

This option may appeal to individuals who:

• Want tax-free retirement income potential 
• Expect to be in a higher tax bracket later in life 
• Prefer more flexibility with retirement withdrawals 

Benefits of an IRA

An IRA can provide several advantages as part of a long-term retirement strategy.

Retirement Savings Growth

IRAs offer a consistent way to build savings over time and prepare for future financial needs.

Potential Tax Advantages

Depending on the account type, you may benefit from tax-deferred growth or tax-free qualified withdrawals.1

Flexible Retirement Planning

IRAs can complement workplace retirement plans and help diversify your retirement savings approach.

Long-Term Financial Confidence

Building retirement savings steadily over time may help provide greater financial flexibility during retirement years.

Is an IRA Right for You?

An IRA may be worth considering if you:

• Want to begin saving for retirement 
• Are looking for tax-advantaged savings options 
• Want additional retirement savings beyond a workplace plan 
• Prefer flexible account options 
• Are focused on long-term financial planning 

Contribution limits and eligibility requirements are determined annually and may vary based on age, income, and IRA type.

Start Preparing for Your Future

Retirement planning doesn’t have to feel overwhelming. Taking small steps today can help you build a stronger financial foundation for the future.

If you’re considering opening an IRA or want to learn more about your retirement savings options, our team is here to help guide the conversation.

1Consult your tax advisor regarding eligibility, contribution limits, deductibility, and tax advantages.