Retirement Plans

What are IRA accounts?


Individual Retirement Accounts (or IRAs) are tax-free or tax-deferred retirement savings accounts. As you get closer to retirement or even a long way off, you can make adjustments to increase your earnings. IRA accounts help you generate enough effective income to cover the costs of your retirement. 

When considering a Roth IRA or traditional IRA, you can choose from a variety of investments, such as mutual funds and exchange-traded funds, as well as stocks and bonds. Whether you decide to have a Roth IRA or a traditional IRA, keep in mind that experts predict that retirees will need 10 to 12 times their income current annual payments in your retirement savings accounts. Also, most people use 70-80% of their pre-retirement income after they stop working. 

Of course, not everyone has the same needs, these vary according to lifestyle and where you live, among other things. It goes without saying that having a savings plan is extremely important. People are living longer, so your savings should last your retirement years.

Traditional IRA

An IRA is an account set up at a financial institution that allows an
individual to save for retirement with tax-free growth or on a tax-
deferred basis. There are three types, Traditional IRA, Roth IRA,
Rollover IRA.

Roth IRA

A Roth IRA is a special retirement account where you pay taxes on money going into your account, and then all future withdrawals are tax-free. Roth IRAs are best when you think your taxes will be higher in retirement than they are right now.


A simplified employee pension (SEP) is an individual retirement account (IRA) that an employer or a self-employed person can establish. Sep IRA are used by small businesses and self-employed individuals to meet their retirement savings needs.