IRA Individual Retirement Accounts

Retirement… you can’t start too early and it’s never too late.

Farmers National Bank offers SIX TYPES OF IRA, without any administration fees, to help with your retirement planning, each offering unique characteristics depending upon your current situation and retirement goals. From traditional IRAs to simple IRAs, FNB can help you determine which plan will best help you to achieve your retirement goals.

How IRAs Work

IRAs are a smart way to help plan for your retirement. Part of retirement planning is determining how much money you will need to live on after you retire. IRA plans allow you to designate an amount of money towards retirement. The income from interest, dividends and/or capital gains can compound each year tax deferred which provides you more money when you need it the most. In addition, you also can eliminate or reduce taxes on either the money you contribute into the plan initially or on the money you withdraw in retirement, depending upon the type of IRA plan you choose.

Types of IRAs

Set up your Retirement Account today! We can even help you rollover or transfer your existing retirement accounts. A minimum $500 opening deposit is required.  Short and long-term maturities ranging from 3 months to 5 years are available to fit your retirement schedule. Please consult your tax advisor for plan eligibility contribution limits.

Traditional IRA

  • Tax-deferred growth of contributions and earnings until withdrawn.
  • No income limits to contribute
  • Withdrawals may begin at age 59 ½
  • Mandatory withdrawals begin at age 72
  • Early withdrawals subject to penalty (certain exceptions apply)

Roth IRA

  • Nondeductible contributions
  • Income limits apply to be eligible to contribute
  • No age limit on contributions (as long as you have earned income)
  • Tax-free withdrawals of earnings as long as qualifications are met
  • Early withdrawals subject to penalty (certain exceptions apply)
  • No mandatory distribution age

SIMPLE IRA Plan

A retirement plan that offers small businesses a better way to help employees save.
  • Employers can deduct employee elective deferrals and employer matching or nonelective contributions
  • All contributions and earnings are tax deferred until distribution
  • Any employer may adopt a SIMPLE IRA plan by meeting just two conditions.
    • 100 or fewer employees who each received at least $5,000 of compensation for the preceding year
    • An employer cannot actively maintain certain other retirement plans while maintaining a SIMPLE IRA plan

Simplified Employee Pension (SEP) Plan

  • A retirement plan established by an employer or self-employed person
  • Each year, the employer can contribute a certain percentage of each eligible employee’s compensation directly to the employee’s SEP IRA
  • Contribution limits are often higher than standard IRAs

Coverdell Education Savings Account (CESA) IRA

  • Tax free distributions and earnings provided the funds are used for qualified child’s education expenses
  • Contributors are subject to income restrictions
  • No requirements for the contributor to have compensation or be under or over a certain age
  • Non-individual contributors are allowed (i.e. corporations or tax-exempt organizations) with no income restrictions
  • Responsible individual assigned to control the assets until the child reaches the age of majority

Flex Plan IRA

Allows you to open a Traditional or Roth IRA account without a large initial deposit and helps you grow your retirement savings with regular transfers from your FNB checking account.

  • 12 months Certificate of Deposit Term
  • Minimum opening deposit of $25
  • Minimum investment annually is $500 by automatic funds transfers from FNB checking account
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IRA CD Rates

Rates effective as of 8/8/2022.

Try one of our retirement calculators now!

All IRAs are FDIC insured.