A Traditional IRA is an Individual Retirement Arrangement, more commonly known as an Individual Retirement Account, which allows individuals to put aside tax-deferred money for retirement. Eligible contributions are made from pretax dollars, meaning they are tax-deductible, and any interest, capital gains, or dividend income from the original funds will grow tax-deferred upon withdrawal.
With an Entrust self-directed Traditional IRA, an individual may have the ability to direct their funds towards a wide variety of investments, including alternatives like real estate and precious metals.
An individual can open and make contributions to a Traditional IRA if both of the following requirements are met:
If an individual and their spouse have received compensation during the year, and have not reached 70 1/2 years of age, an IRA may be established for each. However, if filing a joint tax return, only one spouse is required to receive compensation and is allowed to contribute on behalf of the other spouse.
A self-directed account is different than a standard account because it allows you to have more investment freedom. Self-directed IRAs offer the unique opportunity to hold alternative assets, such as real estate, precious metals, and more.
If your current Traditional IRA does not allow self-direction, you can easily transfer funds to an Entrust self-directed Traditional IRA and gain access to a wide range of alternative investments, from real estate and gold to private stock and small business. You may also convert a 401(k) with a former employer to a self-directed Traditional IRA. Contact us today to get started.
How to determine if an Entrust self-directed Traditional IRA is the right retirement plan for you:
If you answered 'yes' to all or most of these questions, a self-directed Traditional IRA may be a good choice for you.
For 2015, the maximum contribution allowed to a Traditional IRA is $5,500. If you are over the age of 50, you may contribute an additional $1,000 for a total of $6,500.
Visit our Learning Center Resources for up-to-date information on IRA contribution limits.