Put this tax-advantaged plan on your side
Invest your pre-tax dollars in a traditional IRA and let it grow tax-free. Or invest your post-tax dollars in a Roth IRA and enjoy tax-free withdrawals on qualified dollars in retirement..
Traditional IRAs – Tax-deferred growth
- You won’t pay taxes on your account until you withdraw the money.
- Tax-deductible contributions - Qualify for full or partial tax deduction of annual contributions, if under the age of 70-1/2 earning income with no employer-sponsored qualified retirement plan.
Rollover IRAs – Continued tax-deferred growth
- When you leave or change jobs, preserve the tax-deferred status of your retirement money.
- Same tax-deductible contribution rules, withdrawal penalties and maximum contribution limits as a Traditional IRA.
ROTH IRAs – Tax-free income in retirement
- Minimize taxes in retirement or leave assets to heirs tax-free.
- Your after-tax contributions aren’t taxed again when you withdraw the money. Certain earned income conditions apply. Visit IRS for details
- Tax-exempt growth of your contributions and investment earnings.
Inherited IRA
Talk with a Financial Advisor about options surrounding inherited IRAs, as well as seeking the advice of a tax professional to understand the full implications of tax laws that may apply.
Traditional IRAs at a glance
2019/2020
Annual Maximum Contribution
$6,000
Additional Catch-up Contribution for Individuals Age 50+
$1,000
Tax-Deductible Contributions
Yes
Minimum Required Distribution (MRDs) age
72
Minimum Age to Take Withdrawals Without Penalties
59 ½
Earnings Grow Federal Income Tax-Deferred
Yes
Annual Fee
None
On April 2, 2022, People’s United Bank, N.A. merged into M&T Bank. It is now part of M&T Bank and its former branches and most services will operate as the People’s United division of M&T Bank until we complete the integration of our systems later in 2022. M&T Bank is a Member FDIC, 
Equal Housing Lender and Equal Opportunity Lender.