Individual Retirement Accounts (IRAs)
Contributing regularly to an IRA can help ensure your golden years are, in fact, golden. Best of all, you enjoy serious tax advantages while building a secure financial future for yourself and your family. American Trust offers traditional, Roth, and Coverdell (education) IRAs, all with no maintenance fees.
- Traditional IRA
Anyone with income and under the age of 70½, can open a traditional IRA.
- Contributions are tax deductible*
- Interest earnings are tax deferred
- Withdrawals can begin at age 59½
- Early withdrawals subject to penalty**
- Mandatory withdrawals begin at age 70½
- $10 minimum to open
- No maintenance fees
- FDIC insured
Residents within a 100-mile radius of Dubuque, Dyersville, or West Des Moines, Iowa only please.
Self-directed IRAs are available through American Trust Investment Services.
*Consult with a tax advisor.
**Certain exceptions apply, such as healthcare, purchasing first home, and others.
If you close your account before interest is credited, all accrued interest will be paid.
- Roth IRA
To open a Roth IRA, your income must be less than $95,000 annually ($150,000 for married couples). If you are eligible, a Roth IRA can provide tax-free earnings, though contributions are not deductible.
- Contributions are not tax deductible
- Earnings are 100% tax free upon withdrawal
- Direct contributions can be withdrawn free of penalty at any time*
- Interest withdrawals are penalty free beginning at age 59½
- Early interest withdrawals subject to penalty**
- No mandatory withdrawals at age 70½
- $10 minimum to open
- No maintenance fees
- FDIC insured
Self-directed IRAs are available through American Trust Investment Services.
*Consult with a tax advisor.
**Certain exceptions apply, such as healthcare, purchasing first home, and others.
If you close your account before interest is credited, all accrued interest will be paid.
- Coverdell ESA
The Coverdell Education Savings Account (formerly called Education IRA) provides tax-free earnings when the funds are used for a child's education expenses, such as college.
- Interest grows tax free
- Withdrawals are tax free when used for qualified education expenses*
- Contributions are not tax deductible
- No income restrictions or limits to open
- Beneficiary must be under 18 at time of opening
- Beneficiary does not have to be a relative
- Mandatory distributions begin if balance remains when beneficiary reaches age 30
- Maximum annual contribution of $2,000
- No maintenance fees
- FDIC insured
*Qualified expenses include tuition and fees, books, supplies, room and board, etc.
If you close your account before interest is credited, all accrued interest will be paid.
