A tax-deferred retirement account into which an investor may contribute a portion of his/her earned income. Withdrawals before the investor reaches age 59-1/2 are generally subject to a 10% penalty tax imposed by the federal government. Types of IRAs include the traditional IRA and Roth IRA.

A tax-sheltered retirement plan established by individuals in which interest earnings accumulate on a tax-deferred basis.

A personal retirement fund that you can establish with a bank, a brokerage house, or some other financial services provider. IRAs offer certain tax advantages. With a traditional IRA, you can contribute as much as $3,000 a year, and deduct your contributions from your federal income tax. The Roth IRA, while offering no tax deduction for contributions, allows tax-free withdrawals after you reach retirement age. Withdrawals may be made without penalty starting at age 59-1/2.

Retirement account that allows individuals to make annual contributions (up to $2,000 for 2001) into a tax-deferred account from which taxable withdrawals can be made by the owner without additional premature distribution penalty after age 59½. Withdrawals prior to 59½ may also be subject to a federal 10% penalty. The contributions may be tax deductible, if the individual meets certain income requirements.

An Individual Retirement Account is a personal, tax-deferred savings account to which any individual under 70 ½ years of age can transfer funds to save and invest for retirement. The earnings are tax deferred until drawn upon. An IRA can be opened with a limited deposit of $2000 a year. One can begin withdrawing from his or her IRAs after age 59 ½. Withdrawals prior to this age are generally subject to a tax penalty.

The IRA is one of several popular types of retirement funds. It is not legal for a parent to borrow money from an IRA to help pay for their children's education.

A self- directed retirement plan for individuals with earned income and their nonworking spouses. Maximum contributions are up to $3,000 annually. IRAs permit investment through intermediaries such as mutual funds, insurance companies, banks, and securities firms.

a retirement account established in the name of an individual or spouse. IRA assets compound tax deferred, and, depending on the type of IRA selected and other eligibility factors, contributions may be deductible.

An IRA is an Individual Retirement Account as defined in Section 408(a) of the Internal Revenue Code.

A form of defined contribution plan, whereby individuals may make tax- deductible contributions to their own retirement account and to their spouse’s, if the spouse is not employed. Contributions are limited to an annual maximum, as defined by law. The Tax Reform Act of 1986 greatly reduced the usefulness of lRAs by restricting the tax- deductibility of contributions, based on adjusted gross income for active participants in company pension plans. integration of retirement plan with Social Security The coordination of a pension plan with Social Security, so that an employee whose salary is greater than the amount subject to Social Security taxes receives the same total benefit (pension benefits plus Social Security payments) as a percentage of salary, as does an employee whose entire salary is subject to Social Security taxes.

A personal retirement account set up by an employed person with a contribution of up to $2,000 a year (or $4,000 for a couple). Contributions may be tax-deductible, and earnings are not taxed until the funds are withdrawn at age 59½ or later.

A tax-advantaged retirement account which enables an employed person to invest up to $2,000 each year.

Tax-saving retirement program for individuals, established under the Employee Retirement Security Act of 1974.

Personal retirement account for employed persons. Contributions may be deductible against income earned that year. Interest and profits accumulate tax-deferred until the funds are withdrawn at age 59 1/2 or later. Early withdrawals are subject to a 10% penalty. IRA ROLLOVER provision of the law enables persons receiving lump-sum payments from their company's pension or profit sharing plan because of retirement or other termination of employment to ROLL OVER the amount into an IRA account. Once rolled over, the account continues to accumulate tax-deferred until withdrawal.

A personal savings plan that offers tax advantages to save and invest for retirement. Contributions are often tax deductible in whole or in part, depending upon individual cirumstances, including compensation levels and participation in an employer sponsored qualified retirement plan. Income derived from investments in a traditional deductible or nondeductible IRA are tax deferred until withdrawn. Under certain circumstances, withdrawals from a Roth IRA are tax free. Tax penalties may apply to IRA distributions taken before age 59 1/2. Contributions to an IRA may not exceed $2,000 per year. Individuals with earned income may contribute up to $2,000 to the IRA of a nonemployed spouse.

An account which allows an investor to defer taxes while investing into the account. Taxes on the earnings are paid upon withdrawal from the account, usually upon the investor's retirement.

A personal, tax-sheltered retirement account available to individuals. Depending on individual circumstances, IRA contributions may be fully or partially tax deductible. Withdrawals before the investor reaches age 59 1/2 are generally subject to a penalty imposed by the federal government. Types of IRAs include the traditional IRA and Roth IRA.

An individual retirement plan that allows an individual to make annual contributions up to $2,000 ($2,250 for one-income married couples). In certain instances, such contributions are tax-deductible.

A variety of accounts (traditional, Roth, etc) that encourage workers to save for retirement by providing tax and other benefits. Generally, there are penalties for using funds for purposes other than retirement.

A savings plan which allows citizens to accumulate funds for retirement on a tax deferred basis.

An Individual Retirement Account is an account just for yourself to which you contribute money to be used after retirement. An individual retirement account will accumulate interest on a tax-free basis until you withdraw from it. You may have to pay the Internal Revenue Service a ten percent penalty if you withdraw money from your Individual Retirement Account before age 59 1/2. You may be able to deduct your Individual Retirement Contribution from your taxable income.

An account that is set up for the specific purpose of saving for retirement. oint Account A joint account is an account owned by two or more persons. If your account is a joint account, the account is owned as a joint account with rights of survivorship unless otherwise stated on the membership application. iving Trust Accounts An account of living trust is an individual account held by one or more trustees of a trust for the benefit of one or more beneficiaries pursuant to a trust agreement. inimum Daily Balance Minimum Daily Balance is the minimum daily amount of money required in your account to qualify for reduced or waived fees. If your minimum daily balance drops below the required amount during a statement cycle, you will be charged the agreed upon account fees during that cycle.

A retirement plan, open to any working American, to which a person may contribute a specified amount each year (up to $2000 per person); while annual contributions to IRAs may or may not be tax deductible the earnings from all IRAs do accrue on a tax-deferred basis.

A deposit or investment account that provides tax benefits to help accumulate funds for retirement.

Personal retirement account that an employed person can set up with a deposit that is tax deductible up to $2,000 per year. Such deposits qualify as a deduction against income earned in that year and interest accumulates tax-deferred until the funds are withdrawn at age 59 1/2 or later. Early withdrawals are subject to a 10% penalty.

A tax-deferred retirement account for an individual that can be established by a person with earned income. Earnings accumulate tax-deferred until the funds are withdrawn beginning at age 59 ½ or later (or earlier, with a 10% penalty).

A retirement savings program for individuals that can receive assets rolled over from a qualified plan. The transfer allows the participant to protect the assets and earnings from taxation until withdrawal. Withdrawal is not permitted, without penalty, until the individual attains age 59 ½.

Individual retirement accounts (IRAs) are self-directed investment accounts that provide the incentive of tax-deferred (in the case of traditional IRAs) or tax-free (in the case of Roth IRAs) earnings on assets in the account. If you earn income, or are married to someone who does, you can put up to $3,000 per year in an IRA in 2003. If you're 50 or over, you can invest an additional $500 each year. You must be at least 59 1/2, or qualify for an exception, to withdraw from your IRA without owing a 10% penalty. You must begin required withdrawals from traditional IRAs when you turn 70 1/2, and all earnings (plus any deductible contributions) are taxed at your current tax rate as they are withdrawn. Roth IRAs have no required withdrawals and any money you do take out is tax free if you are 59 1/2 or older, provided your account has been open at least five years.

A personal retirement savings plan to which persons may make tax-deferred and after-tax contributions. Investment earnings are tax deferred until distributed, usually after retirement.

An account to which an individual can make annual contributions of 100 percent of earnings up to $2,000. These contributions are tax-deductible for workers either not covered by an employmentbased retirement plan regardless of income, or covered workers who do not exceed certain taxable income levels.

Accounts established by individuals who meet certain IRS qualifications to build retirement funds with deferred tax liability until funds are withdrawn.

A retirement investing tool for employed individuals that allows an annual contribution of 100% of earned income up to a specified maximum amount. The contribution may be deductible from income taxes, depending on the individual's income and coverage by an employer-sponsored retirement plan.Some types of IRAs include ROTH, KEOGH, and EDUCATION or COVERDELL.

An individual pension plan, usually a deposit account with a financial institution; often tax deferred, from which funds cannot be withdrawn before retirement.

A tax-deferred personal retirement account that allows a person to invest up to $3,000 (or 100% of compensation, whichever is less) each year. Your contribution may be tax deductible depending on your adjusted gross income, whether you're married and whether your employer offers a retirement plan at work.

An IRA is a form of trust using custodial accounts. It is a method of saving for retirement on an individual basis. The legislation was passed by Congress to encourage citizens to save for their retirement and has largely been successful. A working person may contribute up to $2,000 per year; a non-working spouse may contribute up to $250 annually. Unless earnings are in excess of $50,000 per year, the contribution may be deducted from one's gross taxable income. p 72, 79, 80

A retirement plan that allows workers to set aside money each year in tax-deferred savings

A tax-favored retirement account which an individual may establish for himself or herself and complies with applicable tax rules. Earnings grow tax-free within the IRA. IRA funds may be invested into a wide range of assets ranging from public stocks and mutual funds to real estate and private placements.

A personal, tax-deferred account set up for the purpose of retirement. Governed by several qualifying factors, the contributions may be tax deductible. Limits set by Federal Tax Code establish when and what, if any, penalties and taxable implications may prevail. | back to educate yourself

The two main types of IRAs are regular and Roth IRAs. Regular IRAs are also called traditional IRAs because they were the first IRAs introduced back in 1981. Roth IRAs were introduced in 1998. Regular IRAs allow you to make a tax-deferred yearly contribution of $3,000 in 2004. For persons who are age 50 or older, a special catch-up provision of the 2001 tax law allows you to contribute an additional $500, or a total of $3,500, for 2004. This account grows tax-deferred until you begin to take distributions, which you can do after you turn age 59-1/2. Roth IRAs require you to pay income taxes in the year that you make the contribution. You also can contribute $3,000 per year in 2004. Roth IRAs grow tax-deferred, and if you keep the account for at least five years and are at least 59-1/2, the entire account can be distributed tax- and penalty-free.

A qualified retirement plan into which an individual may contribute pretax dollars and keep the money tax-free until retirement age. The individual may withdraw the money without penalty anytime between ages 59-1/2 and 70-1/2.

A pre-tax, tax deferred retirement account. Individuals may contribute up to $2,000 per year depending on their level of income.

A personal, tax-deferred, retirement account that an employed person can set up with a deposit limited to $2,000 per year ($4,000 for a married couple filing jointly, whether or not both spouses work.)

A tax-deferred retirement account for an individual that qualifies for special tax treatment under the Internal Revenue Code.

An IRA is a tax-advantaged personal savings plan that lets an individual set aside money for retirement. All or part of the participant's contributions may be tax deductible, depending on the type of IRA chosen and the investor's personal financial circumstances. Distributions from many employer-sponsored retirement plans may be eligible to be rolled into an IRA to continue tax-deferred growth until the funds are needed.

See Traditional IRA and Roth IRA.

A tax-favored retirement account t allows all earners to make contributions (in many cases, tax deductible contributions) of up to $2,000 a year and defer income tax on the IRA earnings until distributions are made from the IRA.

A retirement plan that allows individuals to contribute and grow money in tax-deferred account.

People who are not covered by any pension plan at work may use an IRA to save for retirement. In a traditional IRA, the contributions are made from the person's taxable income and grow tax-free in the IRA. A Roth IRA, named for the United States Senator who shepherded it through Congress, is funded from a person's income, but that income is not taxed in the year it is earned. Instead, the income grows over the years and is taxed when the person withdraws it after he or she retires. Note that an IRA is not considered a "Pension Plan," and the provisions of ERISA do not apply.

An individual tax-deferred savings and investment account meant to accumulate funds for retirement.

In the United States, a tax-sheltered savings plan that allows some citizens to make pre-tax contributions to an approved account. The contributions and investment earnings are taxable as income only when paid out. Investors can establish IRAs through a number of financial institutions, including insurance companies. See also Keogh Act and simplified employee pension (SEP). | Back

In the United States, a retirement savings plan that allows people with earned income to deposit pre-tax earnings into a savings arrangement that is established by an individual and that meets certain requirements specified in the federal tax laws.

(IRA): A tax-deferred retirement account established by an individual who is under age 701/2 and has earned income. All or a portion of the individual's contribution may be tax deductible depending upon whether the individual and/or the individual's spouse is an active participant in an employer's sponsored plan. The maximum contribution for tax year 2001 is $2,000 ($4,000 for a married couple filing jointly, whether or not both spouses work.)

a non-forfeitable trust or custodial account established for the exclusive benefit of an individual and the individualâ€(tm)s beneficiaries. No part of the funds may be invested in life insurance contracts.

A self-directed, tax-deferred retirement investment account established by employed workers who earn a salary, wage, or self-employment income. An IRA account can be with a bank, mutual fund, insurance company, or another trustee. Deposits for traditional IRAs are tax deductible and the investment earnings in the account are not taxable until withdrawn. Different rules apply depending on the type of IRA account.

Personal retirement vehicles in which a person can make annual tax deductible contributions. These accounts must meet IRS Code 408 requirements, but are created and funded at the discretion of the employee. They are not employer sponsored plans.

A personal, tax-sheltered retirement account available to wage earners not covered by a company retirement plan or, if covered, meet certain income limitations.

A personal, tax-deferred retirement account. There are two kinds, the traditional and the Roth. A contribution into a traditional IRA may be tax-deductible and is limited to up to $3,000 a year unless you are over 50 and then goes up to $3,500. Money is taxed upon withdrawal, and significant penalties may occur on withdrawals before age 59-1/2. Contributions to Roth IRAs are not tax-deductible, but earnings and withdrawals are tax-free as long as the account has been open at least five years. Interest rate: What it costs you to borrow money, such as through a credit card or home or auto loan. Usually expressed as an annual percentage rate.

A type of investment account designed to stimulate personal retirement savings by offering tax benefits.

an account that allows individuals to set aside money for retirement. Income limits, and whether they are covered under another qualified retirement plan, determine whether contributions can be made pre-tax. Investment return is tax deferred until withdrawal. Ordinary income tax must be paid upon withdrawal, as well as a 10% penalty tax on amounts withdrawn before age 59-1/2.

A tax-deferred plan that can help build a retirement nest egg.

A tax-deferred savings account in which the employee contributes no more than a set maximum amount annually.

An account to which an individual can make payments to save for retirement on a tax-favored basis.

An account set up by an individual that in some cases allows contributions to be deducted from income and permits earnings on contributions to accumulate tax-deferred until retirement, regardless of whether the contributions are deductible. Under the 1986 tax law, only those who do not participate in a pension plan at work or who do participate and meet certain income guidelines can make tax-deductible contributions to an IRA. All others can make contributions to an IRA on a non-deductible basis.

A retirement-type savings account for individuals who wish to make tax-deductible deposits until they retire; these contributions cannot exceed specific amounts without penalties.

See IRA section under Retirement.

A way for individuals who have earned income to save for their retirement. There are a variety of Individual Retirement Accounts (IRAs), including Traditional IRAs, Roth IRAs, and Coverdell Education Savings Accounts (formerly known as Education IRAs), each with different features, deductibility provisions, and potential tax advantages. Certain withdrawals, including withdrawals from Traditional and Roth IRAs prior to age 59½, may incur a 10% early withdrawal penalty from the IRS.

An account that allows individuals to set aside earned income in a tax-deferred retirement plan. For some individuals, contributions are deductible from taxable income.

A tax-deferred retirement account for an individual that permits individuals to set aside up to $3,000 per year, with earnings tax-deferred until withdrawals begin at age 59 1/2 or later (or earlier, with a 10% penalty). Individuals who are at age 50 or older can set aside up to $3,500 a year. Only those who do not participate in a pension plan at work or who do participate and meet certain income guidelines can make deductible contributions to an IRA. All others can make contributions to an IRA on a non-deductible basis. Such contributions qualify as a deduction against income earned in that year and interest accumulates tax-deferred until the funds are withdrawn. see also Roth IRA, cash account, conduit IRA, rollover, direct rollover, excess accumulation, excess contribution, Keogh Plan, SEP IRA, single-premium deferred annuity, spousal IRA.

Contributions to a traditional IRA are deductible from earned income in the calculation of federal and state income taxes if the taxpayer meets certain requirements. The earnings accumulate tax deferred until withdrawn, and then they are taxed as ordinary income. Individuals not eligible to make deductible contributions may make nondeductible contributions, the earnings on which would be tax deferred.

A retirement account for individuals. Up to $2,000 per year may be put into a tax-deferred IRA. Removing money from an IRA before age 59½ results in financial penalties. IRAs may be funded with mutual fund shares.

See individual retirement arrangement (IRA).

A retirement savings account that meets requirements for favorable federal income tax treatment in the United States.

A personal, qualified retirement account in which an individual may accumulate contributions up to a certain sum each year for retirement income. Such accounts may also be established by purchasing individual retirement annuities from an insurance company or by purchasing individual retirement bonds issued by the federal government. Contributions may or may not be deductible, depending on the individual's income and/or coverage under an employee-sponsored retirement plan. Regardless, funds accumulate on a tax-deferred basis. (See also: IRA.)

A plan which allows a person earning income to make annual contributions to an account for retirement. Contributions are limited to the lesser of $2,000 or 100% of compensation. The account is tax-deferred. Contributions may be deductible.

A tax-deferred account to which an eligible individual can make annual contributions to save for retirement up to $3,000 per year ($6,000 for a single-income married couple filing a joint income tax return).

A personal tax-deferred retirement plan that may be established by anyone under the age of 70 who receives compensation, or by anyone, of whatever age, seeking to defer taxes by rolling over eligible distributions from a qualified retirement plan.

An IRA set up with a financial institution like a bank, broker, or mutual fund in which contributions may be invested in many types of securities such as stocks, bonds, money market, and CDs.

A retirement investing tool for employed individuals that allows an annual contribution of 100% of earned income up to a maximum of $2,000. Some or all of the contribution may be deductible from current taxes, depending on the individual's adjusted gross

IRAs provide special tax benefits for those who set up and contribute to such accounts. The type of IRA that is best for you (traditional or Roth) will depend on several factors, such as your earnings level, how long you have until retirement and your estimated tax brackets before and after retirement. See also Roth IRA.

This is a personal retirement tax shelter that the government has granted favorable tax benefits. An individual can invest up to $2,000 per year into a IRA. Depending on their income level and whether or not they are currently participating in their employer-sponsored retirement plan, he/she can deduct the amount of money placed under the IRA. Once inside the IRA the money grows tax-deferred. An investor can use stocks, bonds, mutual funds, or other permissible investments allowed by the IRS as the investment vehicle to fund the IRA.

A tax-deferred plan that permits individuals with earned income (and their spouses), to put aside contributions for retirement. For normal IRA's, there is no tax on the earnings until they are distributed, and the contributions are deductible within certain limits.

Tax-deferred savings accounts that allow people to accrue retirement funds.

A tax-deferred personal account that allows employed individuals to set aside up to $2,000 per year for retirement. There are two types of IRAs, traditional and Roth. Earnings from a traditional IRA are tax deferred until withdrawals begin at age 591/2 or later. Funds invested in a Roth IRA are pre-taxed, which means the earnings are tax free upon withdrawal at age 591/2 or later. Insider Trading - The buying or selling of shares of a publicly held company by an “insider” - someone who has material information about the company that is not available to the public.

A tax-deferred retirement account for individual investors. Earnings are tax-deferred until withdrawn after the age of 59 1/2. For investors who choose a Roth IRA, earnings are tax-free when withdrawn after the age of 59 1/2 and have had the IRA for at least 5 years. Contributions to a Traditional IRA may be tax-deductible depending on income and retirement plan participation.

A retirement savings account that allows individuals to set aside up to $2,000 per year, with earnings tax-deferred until withdrawals begin at age 59 1/2 or later.

A tax-deferred trust or custodial account established by an individual who is under age 701/2 and has earned income. Depending on an individual's active participant status in an employer-sponsored retirement plan, all or a portion of the individual's contribution may be deductible from taxable income (as an adjustment to adjusted gross income).

A method of planning for retirement that enables individuals to save up to $2,000 annually. These funds, called contributions, are in addition to any retirement plan already in place by the individual's employer. In addition, if an individual's employer has adopted a Savings Incentive Match Plan for Employees, the employee will be able to make a pre-tax elective contribution to an IRA of up to $6,000 annually. IRA funds are tax-deferred, that is, not subject to tax until withdrawals are made, when the individual may be in a lower tax bracket. (See Tax-Deferred Investment).

A tax -deferred retirement account for an individual who does not participate in a pension plan at work or who does participate and meet certain income requirements.

A tax-deferred retirement account for individuals, which allows them to earn potential income on their investments and defer the taxes until withdrawals begin. Those who meet certain participation and income qualifications can make deductible contributions to an IRA. (Such contributions qualify as a deduction against earned income.) All others can contribute on a non-deductible basis. For comparison, see Roth IRA, SEP-IRA, SIMPLE IRA.

a tax shelter, in which the government allows each person to contribute $2,000 annually (of earned income) into an account that has tax-free features.

self-funded retirement plan that allows contributions toward retirement; taxes on the interest earned in the account are deferred.

Retirement fund established by an individual in which one deposits wages and defers taxes until retirement.

A tax-deferred account that allows individuals to contribute a maximum of $2,000 per year toward retirement. Since the investments are not taxed, they can grow more rapidly and benefit from the power of compounding until they are withdrawn. IRA contributions may be fully or partially tax deductible. For a comparison of four types of IRAs offered by Atlas, go to Individual Retirement Accounts.

A tax-advantaged account designed for accumulating funds for retirement.

An Individual Retirement Account is a personal, tax-deferred, retirement account in which an employed person can contribute a maximum amount per year. There are specific rules concerning level of participation and eligibility for an a IRA and whether an employee's contributions are tax-deductible. Consult a financial consultant or tax advisor.

A retirement account to which you can contribute up to $4,000 (or 100% of your compensation, whichever is less) annually. IRAs allow your money to grow tax deferred and, depending on your personal circumstances, contributions may be tax deductible and withdrawals prior to age 59 1/2 may be assessed a 10% IRS penalty. Withdrawals from IRAs are taxed at then-current rates.

An Individual Retirement Account (IRA) is a retirement savings account that can be established by people with earned income and their spouses. IRA earnings are tax-deferred until withdrawn. Certain rules affect the deductibility of Traditional IRA contributions. IRA withdrawals are subject to regular income taxes, and may be subject to a 10% IRS penalty if taken prior to age 59 1/2.

An investor-established, tax-deferred account set up to hold and invest funds until retirement.

Individuals may deduct up to $2,000 of earned income per year from their federal taxable income and set that amount aside for their retirement. The Tax Reform Act of 1986 has placed restrictions on the deductibility of these contributions. For 1998 and thereafter, non-deductible Roth IRAs are available for which earnings accumulate without taxation and withdrawn, within the rules, free of taxation. TRA ‘97 created non-deductible Roth IRA ($2,000) and Education IRAs ($500).

A special federal program that allows you to delay the payment of income tax on some money you save, which reduces the amount of tax owed. IRA rules determine how much money you can save under this program, how you can get your savings out, and how much tax you finally pay.

A retirement plan, offered by banks, brokerage firms and insurance companies, to which individuals can contribute each year on a tax-deferred basis.

A tax-deferred retirement account for an individual that permits individuals to set aside up to $4,000 per year (for tax year 2005 and an additional $500 for those 50 or older), with earnings tax-deferred until withdrawals begin at age 59 1/2 or later (or earlier, with a 10% tax penalty). Only those who do not participate in a pension plan at work or who do participate and meet certain income guidelines can make deductible contributions to a traditional IRA. Such contributions are deductible from income in that year and interest accumulates tax-deferred until the funds are withdrawn. All others can make contributions to traditional IRA on a non-deductible basis.

different types: Traditional tax-deferred retirement account that allows you to set aside funds up to a maximum amount per year.  Contributions qualify as a deduction against income earned in that year and interest accumulates tax-deferred until funds are withdrawn.  If you do not participate in a pension plan at work or do participate and meet certain income guidelines you may make deductible contributions; all others will be non-deductible Roth retirement account that allows you, subject to certain income limits, to save for retirement while allowing your savings to grow tax-free; taxes are paid on contributions, but withdrawals, subject to certain rules, are not taxed at all Rollover retirement account that allows you to move a lump sum payment from the Retirement Investors' Club and certain distributions from your pension plan into an IRA.  Earnings made are tax-deferred until distribution

A tax-favored retirement plan. Contributions to a regular IRA may be tax deductible, depending on your income and if you are covered by a retirement plan at work. Earnings grow tax-deferred. Earnings in a variation, the Roth IRA, grow tax-free, and contributions are made with after-tax dollars.

A tax-deferred, trusteed account into which certain eligible individuals contribute funds for retirement up to annual contribution limits. Approved vehicles for IRAs include Share Accounts and certificates at financial institutions, insurance annuities, mutual fund offerings and certain self-managed securities accounts at stock brokerage firms.

Trust funds established by individuals for retirement purposes, as authorized by Congress.

A qualified account which an individual (under age 70) can make annual contributions of of earnings up to to a certain dollar limit.

A personal savings plan that offers tax advantages to save and invest for retirement. Contributions are often tax deductible in whole or in part, depending on individual circumstances, including compensation levels and participation in an employer sponsored qualified retirement plan. Income derived from investments in a traditional deductible or nondeductible IRA is tax deferred until withdrawn. Under certain circumstances, withdrawals from a Roth IRA are tax-free. Tax penalties may apply to IRA distributions taken before age 59 ½. The most you can contribute to your traditional IRA for 2002 has been increased to $3,000 or if you are 50 or older, $3,500. Keep in mind that contributions on your behalf to a traditional IRA reduce your limit for contributions to a 'Roth IRA'. See: IRA Rollover; Lump-Sum Distribtution; Qualified Pension Plan Or Trust; Self-Directed IRA; Spousal IRA; Tax Deferred

An IRA is a personal savings plan that allows an individual to make cash contributions per year dependent on the individual's adjusted gross income and participation in an employer's retirement plan. Under a traditional IRA these earnings are not taxable until the time of withdrawal from the plan.

A tax-deferred retirement savings account allowing individuals to contribute up to $3,000 annually, and single-income married couples up to $6,000 annually. The amount deductible for income tax purposes depends on income level. Individual Retirement Accounts and Individual Retirement Annuities are types of Individual Retirement Arrangements.

An account that can be established by individuals who meet IRS qualifications to build retirement funds, deferring the tax liability until funds are withdrawn. Under permitted circumstances, they may deduct their annual contributions from their taxable income.

A tax-deductible savings plan for those who are self-employed, or those whose earnings are below a certain level or whose employers do not offer retirement plans. Others may make limited contributions on a tax-deferred basis. The Roth IRA, a special kind of retirement account created in 1997, may offer greater tax benefits to certain individuals.

An account to which an individual can make annual contributions of 100% of earnings up to $2,000 ($2,250 for a one-income married couple). These contributions are tax deductible for most workers, and income earned in the account is deferred until withdrawn.

An Individual Retirement Account allows individuals who are earning income to contribute to a tax-deferred investment fund. An individual can contribute up to $2,000 per year or $4,000 if married to an unemployed spouse. Contributions to an IRA are tax-deductible based on the individual's marriage status and income level. Monies contributed to an IRA may be invested in stocks, bonds, mutual funds, annuities, bank savings accounts, Certificates of Deposit, government bonds, and investment trusts but not more personal and immediate investments such as a home or collectibles. The individual may contribute to the Individual Retirement Account until age 70 1/2, but if money is withdrawn before age 50 1/2, penalties will be incurred.

A retirement savings account for individuals. Deposits may be tax-deductible. These contributions cannot exceed specific amounts without penalties.

Tax-deferred savings account used to accrue funds for retirement.

An investor-established, tax-deferred account created to hold and invest funds until retirement. Contributions are often tax-deductible, but they are taxed as ordinary income when withdrawn.

An account that enables individuals to set aside up to $2,000 of earned income each year toward retirement.

A tax-deferred savings account in which a person may accrue retirement funds.

A tax-deferred retirement account for individuals that allows a contribution of 100% of earned income up to a maximum of $3,000 per year in 2003-2004. With a Traditional IRA, some or all of the contribution may be tax deductible, depending on the individual's income level and coverage by qualified retirement plans. With a Roth IRA, the contribution is not tax deductible, but all earnings are tax free, provided certain conditions are met.

A tax-deferred retirement account set up with a financial institution such as a bank, broker, or mutual fund in which contributions may be invested in many types of securities such as stocks, bonds, money market funds, CDs, etc. See IRA Glossary and All About IRAs.

A special account in which an employee can set aside funds that will not be taxed until the employee retires.

tax-advantage investments to which the government allows each individual to contribute $2,000 of earned income each year that may be deducted from current gross earnings

An investor-established account allowed by the IRS to accumulate assets on a tax-deferred basis until retirement.

A retirement account that allows individuals to make tax-deferred contributions to a personal retirement fund. Individuals can place IRA funds in bank accounts or in other forms of investment such as stocks, bonds, or mutual funds.

An Individual Retirement Account (or IRA) is a retirement plan account that provides some tax advantages for retirement savings in the United States.