IRA Information

You may consider using a deferred annuity as an investment vehicle for your traditional IRA or Roth IRA.

Traditional IRA Roth IRA
Eligibility Generally, anyone under age 70 1/2 with earned income as well as spouses (if filing jointly) of earners who have no income of their own. Anyone with earned income and spouses of wage earners who have no income of their own.
Contribution Limitations 100% of income up to $5,000, $6,000 if age 50 or older Up to $5,000, $6,000 if age 50 or older with limitations based on Modified Adjusted Gross Income and tax filing status
  Taxes:
Contributions Fully or partially tax deductible depending on your participation in an employer - sponsored retirement plan, income and tax filing status Not tax-deductible
Earnings Taxes are deferred until you withdraw funds Grow tax-free, subject to limitations
Withdrawals Fully taxable and subject to federal tax penalties if made before age 59 1/2 or if withdrawals do not begin upon reaching age 70 1/2 Contributions can be withdrawn at any time without taxes or penalties. Earnings can be withdrawn without taxes or penalties if you are 59 1/2 and your account has been open 5 years or more. No requirement to begin withdrawals at age 70 1/2.

This information is presented to show the general differences between traditional and Roth IRAs. You should consult with a qualified tax advisor, CPA or financial advisor for more information and for specific investment planning advice.