Retirement Plans

No matter what your age, retirement is an important consideration. Citizens State Bank will work with you to help select an IRA account that will meet your needs.

• Separately insured up to $250,000 by the FDIC
• Fixed and variable terms available to meet your investment needs

Listed below are the types of IRA's that we offer.

Traditional IRA's

• Provides tax deferred financial security for your future
• You can no longer make regular contributions to a traditional IRA beginning with the tax year you turn 70 ½ years
• No required minimum distribution until you reach 70 ½
• You can withdraw funds from your IRA any time after you reach 59 ½ a 10% penalty may apply
• The annual contribution limit is $5,500; additional $1,000 catch up contribution for individuals over age 50

Roth IRA's

• The Roth IRA gives investors tax free earnings and penalty free withdrawals after five years and after having reached age 59 ½.
• The annual contribution limit is $5,500; additional catch up contribution of $1,000 for individuals over age 50
• As long as you have earned income, you can establish and contribute to a Roth IRA No age restriction

Simple IRA's

A SIMPLE IRA Plan (Savings Incentive Match Plan for Employees) is an employer-sponsored retirement plan who employs 100 or fewer employees on any day during the year who earned $5,000 or more in compensation from the employer during the year. Five attractive reasons to have an SIMPLE IRA Plan:

• An employee can defer current income taxation by making elective deferrals;
• An employer is allowed to deduct the cost of these elective deferrals;
• Interest earned is tax deferred;
• Current IRA rules may limit deductibility for Traditional IRA contributions; and
• SIMPLES have relatively few government reporting requirements, and therefore, lowers administrative costs.

SEP Plans

A SEP Plan (Simplified Employee Pension Plan) is an employer-sponsored retirement plan which is an excellent choice for a self-employed individual. Contributions are made directly to a Traditional Individual Retirement Account (IRA) for each participating employee. This plan eliminates lengthy and detailed government reporting, numerous non-discrimination tests, and complicated and restrictive contribution formulas associated with other retirement plans.