Tax breaks now.
Or tax breaks later.
Three IRA types. Each one a different deal with the IRS. Pick the structure that fits your tax situation now and your retirement plans later. Open as a share account or commit to a certificate for higher dividend rates.
Membership required. Vida deposits your $5 membership share for you. Vida FCU is not a tax advisor. Tax treatment depends on your individual situation. Consult a qualified tax professional before opening or contributing.
IRA Types
Traditional, Roth, and Education IRA available.
2026 IRS Limit
Combined Traditional and Roth. $8,600 if 50 or older.
Share Minimum
Or $500 if you open it as a certificate.
Account Formats
IRA share account or IRA certificate. Same IRS rules.
Pick
your IRA.
Before opening any IRA, check with your tax advisor — they can tell you which IRA benefits your situation. The core question: do you want the tax break now or later? Traditional gives it now (potentially) and taxes withdrawals in retirement. Roth pays tax now and gives you tax-free withdrawals later. The Education IRA is for kids' education and works tax-free for that purpose.
- All three IRAs are available as share accounts or certificate accounts
- 2026 contribution limit: $7,500 combined Traditional and Roth, plus $1,100 catch-up if you're 50 or older
- The Education IRA has its own contribution limit set by the IRS, separate from Traditional and Roth
- Roth IRA eligibility phases out at higher incomes; confirm with your tax advisor before selecting
- NCUA insured up to $250,000 per owner per insurance category
Contributions may be tax-deductible the year you make them, depending on income and workplace plan coverage. You pay tax when you withdraw in retirement.
No deduction now. Contributions go in with after-tax dollars. Qualified withdrawals after age 59½ and 5 years are completely tax-free.
Education savings account. Historically called the "Education IRA." Withdrawals are tax-free when used for qualified K-12 or higher education expenses for the beneficiary.
Two ways
to hold it.
An IRA is a tax wrapper. The underlying account can be either a share account (savings-style, flexible) or a certificate account (CD-style, fixed term, higher rate). Both types follow the same IRS rules. The difference is how the money inside the IRA earns and how you can access it.
All three IRA types (Traditional, Roth, Education) are available in both formats.
The flexible option. Works like a savings account inside an IRA tax wrapper. Earns a base dividend rate. You can contribute or take qualified withdrawals at any time, subject to IRS rules.
The yield option. Works like a CD inside an IRA tax wrapper. Secures a rate for a fixed term, earns more than the share account. Same IRS rules, just a different shape for the money.
Tax disclaimer: The information on this page is provided for general informational purposes only. Vida Federal Credit Union is not a tax advisor, financial planner, or attorney. IRA contribution limits, income phase-outs, deduction eligibility, and tax consequences depend on your individual circumstances and current IRS rules. Consult a qualified tax professional before opening, contributing to, or withdrawing from any IRA. Tax rules change. Current IRS guidance always supersedes general descriptions provided here.
The stuff people ask first.
Traditional or Roth, how do I pick?
Quick rule of thumb: if you expect to be in a lower tax bracket in retirement than you are now, Traditional is usually better. If you expect to be in a higher tax bracket later, Roth tends to win. The honest answer is to talk to your tax advisor before you choose. The wrong choice can leave money on the table over decades.
What's an Education IRA?
An education savings account. Contributions grow tax-free and withdrawals are tax-free when used for qualified K-12 or college expenses. It used to be called an "Education IRA." Same product, modernized name. There are income limits and a per-beneficiary annual contribution limit set by the IRS.
What's the difference between a share account and a certificate?
An IRA is just a tax wrapper. Inside that wrapper, you can hold a share account (flexible, like a savings account) or a certificate (locked term, higher rate, like a CD). The IRS rules about contributions and withdrawals are the same. The difference is how the underlying money earns and how easily you can access it.
How much can I contribute?
For 2026, the IRS limit is $7,500 across all Traditional and Roth IRAs combined, plus an additional $1,100 catch-up if you're 50 or older (so $8,600 total). The Education IRA has a separate, lower limit per beneficiary. Limits change. Always check current IRS guidance.
When's the contribution deadline?
For Traditional and Roth IRAs, you can contribute for a given tax year through April 15 of the following year. For the Education IRA, the deadline is December 31 of the tax year. Tax filing extensions do not extend the IRA contribution deadline.
Can I roll over an IRA from another institution?
Yes — and rollovers are one of the easiest ways to bring your retirement savings to Vida. IRA rollovers and transfers from a 401(k) or another institution are standard. Call Vida at (909) 983-1959 and we'll handle the process with you. Done correctly, a rollover doesn't trigger taxes or penalties. Done incorrectly, it can. Talk to a Vida representative before initiating.
Start saving.
Tax wrapped.
Apply for membership and open your IRA online or in branch. Talk to a Vida representative if you have questions about which IRA type fits your situation.