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Your savings insured to
at least $250,000 by the
National Credit Union Administration, a U.S. Government Agency.
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Section contents:
Northrop Grumman FCU offers several types of IRA savings programs: a Term
IRA, which requires a minimum deposit of $2,000; an Accumulation IRA,
which may be opened with as little as $5 and may be added to at the member's
discretion up to $2,000 per year; and a Money Market IRA which requires a minimum deposit of
$2,500. Withdrawals before reaching age 59-1/2 may be subject to IRS penalty.
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 Eligibility |
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Anyone with earned income, or a non-working spouse. Contact your tax
accountant/lawyer to confirm eligibility. |
Summary |
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Northrop Grumman FCU Term, Accumulation, and Money Market IRAs
offer a variety of benefits to members:
- IRA accounts are federally insured separately by the NCUA up to $250,000
- Provide opportunity for savings and possible tax deductions
- Earn money; dividends compound monthly and may be tax deferred
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| Minimum Requirements |
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The following minimum requirements apply to Term, Accumulation, and Money Market IRAs:
Term
- Minimum balance of $2,000; opening a Term IRA for $40,000 qualifies you to receive a bonus dividend rate
Accumulation
- Opening deposit of $5 or more
- $100 minimum to obtain annual percentage rate
- Maximum annual contribution, refer to a tax advisor
- Earliest qualified distribution is at age 59-1/2
- Premature distribution penalty if under 59-1/2
Money Market
- Minimum balance of $2,500
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| Frequently Asked Questions |
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Q: What if I don't have $2,000 to contribute to a term IRA?
A: It can be difficult to give up a large sum of money all at once for retirement. Many members find that small weekly contributions to an accumulation IRA is more affordable. Once you accumulate $2,000, you can roll it into a higher yield Term IRA. |