Helping Members Achieve Retirement Success
Retirement is an important step in financial success, and at Nebraska Energy Federal Credit Union we offer many ways to help get you there. Learn more about the various IRA Accounts below.
Traditional IRA
A Traditional IRA is an account that allows you to defer taxes on your earnings until they are withdrawn. Some contributions may be tax deductible in the year they are made.
*Qualifications to establish a Traditional IRA include:
- You must have earned income. The maximum annual contribution to a Traditional IRA is $7,500.00 (subject to change).
- If you are 50 years of age or older, you can make an additional “catch-up” contribution of $1,100.00.
- Eligibility for a deduction is based on whether an IRA owner is an active participant in an employer sponsored retirement plan, the IRA owner's tax return filing status, and the amount of adjusted income.
- The contribution deadline for the current year is Tax Day of the following year, usually April 15.
*Members are encouraged to verify tax advantages by consulting with their advisor.
Rollover IRA
Retiring or changing jobs? Thinking of rolling over your qualified pension plan into an IRA?
Fun fact: If an IRA is composed entirely of one or more rollovers from a qualified pension plan, it may be eligible to roll back into a qualified pension plan at a later date*. You can do this with our Rollover IRA. At Nebraska Energy Federal Credit Union, all you have to do is open the Rollover IRA, and we will handle the rest.
*Members are encouraged to verify tax advantages by consulting with their advisor.
Roth IRA
A Roth IRA account features qualified tax-free withdrawals after a five-year holding period.
Qualification to establish a Roth IRA is that you must have earned income.
Contributions are non-deductible and taxed in the year they are earned rather than when they are withdrawn*. That means members who expect to be in a higher tax bracket when they retire may benefit more from a Roth IRA now.
- Unlike the Traditional IRA, there is no requirement to begin taking distributions at age 72.
- The maximum contribution that can be made to a Roth IRA is $7,500.00 (subject to change).
- If you are age 50 or over, you can make an additional catch-up contribution of $1,100.00.
- The contribution deadline for the current year is Tax Day of the following year, usually April 15.
*Members are encouraged to verify tax advantages by consulting with their advisor.