You already have solid retirement savings in the Local 26 Pension Plan and the Individual Account Plan but if you are still able to put more away for retirement, you might want to consider an IRA to complement your current retirement savings vehicles. Not only does Fidelity manage our Individual Account Plan, it’s also an investment resource for individuals—like our Local 26 members and family members—who want to participate in investments on their own.
Consider the three types of IRAs, Individual Retirement Accounts, that can help you boost your retirement savings—Roth, Traditional, and Rollover.
Roth IRA: Comprised of after-tax contributions that grow tax-free and allow for tax-free withdrawal in retirement. This option is ideal if you believe you will be in a higher tax bracket in retirement than you currently are now.
Traditional IRA: Contributions are made with pre-tax dollars allowing for tax-deductions now but withdrawals will be taxed in retirement. This IRA reduces your current taxable income.
Rollover IRA: An IRA from a previous employer can be rolled into a single account without taxes or penalties.
All IRAs are subject to contribution limits. Please consult your tax advisor when determining which type of IRA best suits your individual needs.
For more information on retirement savings plans of all types, including our Fidelity-managed Individual Account Plan, visit www.fidelity.com or call 800-835-5095.