Traditional IRAs: Conclusion

Traditional IRAs are a popular way for individuals to save for their retirement because assets grow on a tax-deferred basis, and contributions to a Traditional IRA are extremely flexible.

Let's recap:

Any individual who has taxable compensation during the year and will not reach age 70.5 by the end of the year may establish and fund a Traditional IRA.
Traditional IRAs must be established with institutions that have received IRS approval, such as most banks, brokerages and savings institutions.
A Traditional IRA can be funded from your own contributions, spousal contributions, transfers or rollovers.
All IRA participant contributions cannot be made in the form of securities and must be made in cash.
IRAs cannot invest in collectibles, which include art works, rugs, antiques, metals, gems, stamps, coins, alcoholic beverages and certain other tangible personal property.
The tax and penalty treatment applicable to distributions from a Traditional IRA is determined by the IRA owner's age at the time of withdrawal and tax-deductibility treatment of the assets when they were contributed.

Table of Contents

1) Traditional IRAs: Introduction

2) Traditional IRAs: Eligibility Requirements

3) Traditional IRAs: Contributions

4) Traditional IRAs: Distributions

5) Traditional IRAs: Conclusion

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