Your future starts today.
For many people, an Individual Retirement Account (IRA) is a smart way to save regularly for retirement and enjoy special tax benefits. IRAs offer the advantage of not having to pay taxes on annual investment earnings (gains, interest, or dividends) until you begin withdrawing funds from the account.
It's best to start contributing to an IRA as early in life as you can since that will allow your tax-deferred earnings to grow while you maximize the power of compounding. ALEC offers two types — savings and certificates — that allow you to choose how your money grows.
IRA Savings
No minimum purchase amount, available in Traditional, Roth and Educational IRAs. A great, fixed alternative to saving for retirement or other financial goals. A Savings IRA from ALEC is designed to help you achieve greater financial security for you and your family in your retirement years.
- Traditional, Roth, and Educational IRAs available
- Competitive rate
- Earns monthly dividends based on the average daily balance
- Dividends are automatically reinvested for maximum compounding
- Choose an IRA where earnings grow either tax-free or tax-deferred
- Contributions may be tax-deductible1
- 24/7 account access via Online Banking, Mobile Banking and Telephone Banking
Already have an ALEC IRA? Manage it online.
IRA Certificates
Terms from 12 to 60 months, $500 minimum purchase, available in Traditional, Roth, and Educational IRAs. A great way to save for a rainy day while earning competitive rates. A Certificate IRA from ALEC is designed to help you achieve greater financial security for you and your family in your retirement years.
- Traditional, Roth, and Educational IRAs available
- Low $500 minimum requirement to open
- Lock in a competitive rate
- Terms from 12 to 60 months
- Dividends are paid monthly
- Dividends are automatically reinvested for maximum compounding
- No service charges (except for early withdrawals)
- Choose an IRA where earnings grow either tax-free or tax-deferred
- Contributions may be tax-deductible1
- 24/7 account access via Online Banking, Mobile Banking and Telephone Banking
Already have an ALEC IRA? Manage it online.
Your retirement savings are safe.
Nothing is more important to us than protecting your money. All ALEC accounts are insured up to $250,000 by American Share Insurance (ASI), the nation's largest private deposit insurer.
IRA Rates
| Account Type | Nominal Rate | APY** |
|---|---|---|
| IRA Share Roth, Traditional, Education |
0.499% | 0.50% |
| Account Type | Term | Nominal Rate | APY** |
|---|---|---|---|
| IRA Certificates2 Roth, Traditional, Education $500 Minimum Balance |
12 months | 1.736% | 1.75% |
| 24 months | 2.227% | 2.25% | |
| 36 months | 2.472% | 2.50% | |
| 48 months | 2.960% | 3.00% | |
| 60 months | 3.445% | 3.50% | |
| Variable Rate IRA Certificate3 $500 Minimum Balance | 24 months | 4.793% | 4.90% |
Contribution Limits for Traditional / Roth IRA
| Year | Under Age 50 | Age 50 and older |
|---|---|---|
| 20244 | $7,000 | $8,000 |
| 2025 | $7,000 | $8,000 |
