Compare IRAs
Have peace of mind for retirement planning and see if a Traditional or Roth IRA is right for you
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TRADITIONAL IRA† |
ROTH IRA† |
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Benefits | Save for your retirement with tax-deferred earnings. Your contributions may be tax-deductible (with certain limitations) but qualified withdrawals in retirement will be taxed. | Save for your retirement with tax-deferred earnings. Your contributions are not tax-deductable but qualified withdrawals in retirement may be tax-free.3 | ||
Eligibility | You can contribute if you (or your spouse, if filing jointly) have taxable compensation. | You can contribute at any age if you (or your spouse, if filing jointly) have taxable compensation and your modified adjusted gross income is below certain amounts. | ||
Annual Contribution Limits | See Traditional IRA Contribution Limits | See Roth IRA Contribution Limits | ||
Distribution Requirements | You must start taking distributions by April 1 following the year in which you turn 72 and by December 31 of later years. | Not required if you are the original owner. | ||
Tax Deductions for Contributions | Fully deductible regardless of AGI1 if you and your spouse aren't in an Employer Retirement Plan (ERP).2 | Contributions are made after tax. |