Traditional IRA Information


Since their inception in 1974, the purpose of a traditional IRA has been to save money for retirement. For some individuals these accounts offer a tax deduction. For everyone, traditional accounts offer deferral on taxation until a distribution is taken.

Traditional accounts are offered by banks, credit unions, savings institutions, investment companies, stock brokers, and insurance companies.

Investments come in many varieties. Deposit-related accounts typically restrict investments to certificates of deposit and savings accounts. Self-directed accounts offered by stock brokers, trust companies, and mutual fund companies offer investments in stocks, bonds, and mutual funds. Insurance companies offer individual retirement annuities.

Traditional accounts are regulated by the Internal Revenue Service. Since they have had over thirty years to publish information, as you can imagine, they haven't been at a loss for words. Some of the individual releases totalled well over 100 pages.

The rules are often complicated and poorly explained by Congress and the IRS. Our goal is to try to make sense out of nonsense.

Tax Deductions
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