IRA

IRA Types Available

Traditional IRA
Roth IRA
Coverdell Education Savings Account

💜 IRAs at Century Federal

Build your future with confidence, clarity, and tax‑advantaged growth.

Whether you’re planning for retirement, saving for education, or simply taking your first step toward long‑term financial wellness, an IRA at Century Federal gives you a safe, stable, and smart place to grow your money.

📈 IRA Contribution Limits (Traditional & Roth)

Saving for the future is more accessible than you think.

$6,500 per year for individuals under age 50
$7,500 per year for individuals age 50 or older (includes catch‑up contribution)

To contribute, you (or your spouse, if filing jointly) must have earned income equal to or greater than the amount you contribute.

👉 For full contribution rules, see IRS Publication 590.

⭐ Benefits of a Century Federal IRA

Your future deserves a partner you trust.

Safe, stable investment option
Competitive rates that help your retirement grow
NCUA insured up to $250,000
Backed by a local credit union you know and trust

It’s a simple, secure foundation for long‑term financial health.

🔁 IRA Required Minimum Distributions (RMDs)

If you’re 72 or older, federal regulations require you to take a minimum yearly distribution from your Traditional IRA.

Your RMD information appears on your December statement each year
If you have automatic distributions set up, you can change your withholding at any time

We’re here to help you understand your RMD and stay compliant.

🎓 Coverdell Education Savings Account (CESA)

A powerful way to save for a child’s future—tax‑free.

A Coverdell Education Savings Account is designed to help families save for a child’s educational needs, from elementary school through college.

It’s simple, flexible, and full of benefits.

⭐ Who Can Open or Contribute?

Anyone (including the child) can contribute if their Modified Adjusted Gross Income (MAGI) is:

Under $110,000 (single)
Under $220,000 (married filing jointly)

⭐ How Much Can Be Contributed?

Up to $2,000 per year per child (beneficiary).

⭐ Why Open a CESA?

Because education is an investment — and tax‑free growth helps every dollar go further.

Earnings grow tax‑free
Withdrawals are tax‑free when used for qualifying educational expenses
Can be used for:
- Elementary school
- Secondary school
- College & vocational programs
Helps kids learn the value of saving early

The beneficiary must be under age 18, unless they qualify as a special‑needs beneficiary.

👉 For full details and tax guidelines, see IRS Publication 970.

🌟 Plan for the Future With Confidence

Whether you're saving for retirement, planning for a child’s education, or trying to build long‑term financial security, we’re here to help you choose the right path.

👉 Open an IRA
👉 Learn About CESAs
👉 Speak With an IRA Specialist

Together, we’ll help you Bank Boldly. Live Fully.

Feature	Traditional IRA	Roth IRA	Coverdell Education Savings Account (CESA)
Best For	Anyone who wants tax‑deferred retirement growth	Savers who want tax‑free withdrawals later	Families saving for a child’s education
Annual Contribution Limits	$6,500 (under 50) • $7,500 (50+)	$6,500 (under 50) • $7,500 (50+)	$2,000 per year per child
Income Requirements	Must have earned income	Must have earned income; income limits apply for high earners	Contributor’s MAGI must be under $110k (single) or $220k (joint)
Tax Benefits	Contributions may be tax-deductible; earnings grow tax‑deferred	Contributions are after‑tax; earnings grow tax‑free; withdrawals in retirement are tax‑free	Earnings grow tax‑free; withdrawals tax‑free for qualified education expenses
Withdrawals	Taxed as income in retirement	Tax‑free if the account is at least 5 years old and you're 59½+	Must be used for education or taxes apply
Age Requirements	Must start RMDs at age 72	No RMDs for the original owner	Beneficiary must be under 18 (or special needs)
Use of Funds	Retirement only (exceptions apply)	Retirement only (exceptions apply)	Education costs: K–12, college, trade school
Who Can Open?	Anyone with earned income	Anyone with earned income (and within income limits)	Anyone contributing on behalf of an eligible child
Minimum for Century Federal Accounts	Standard IRA minimums apply	Standard IRA minimums apply	$2,000/year contribution limit
NCUA Insured	Yes, up to $250,000	Yes, up to $250,000	Yes, up to $250,000