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Contributions may be tax deductible for single tax filers earning less than $73,000 MAGI ($72,000 for 2017) and joint tax filers earning less than $121,000 MAGI ($119,000 for 2017).² Earnings may be withdrawn without a 10% additional tax at or after age 59½. Withdrawals must be taken beginning the year in which you turn age 70½.

Contributions are not tax deductible, but qualified withdrawals are federal, and often state, tax free after you reach age 59½ and the account has been open at least 5 years. Contributions—not earnings—can be withdrawn tax free at any time.

Multiple 401(k) and 403(b) retirement plans can be consolidated into a single easy-to-manage account, allowing your assets to maintain their tax-deferred status. A Rollover IRA provides access to a full range of investment choices. Minimum withdrawals are required starting at age 70½ and generally taxed if withdrawn prior to age 59½.

Anyone under age 70½ with earned income is eligible to open and contribute to a Traditional IRA.

The eligibility limits are $135,000 MAGI or less for individuals ($133,000 for 2017) and $199,000 MAGI or less for joint filers ($196,000 for 2017).²

Anyone with retirement assets from previous employers or IRAs is eligible to roll over those assets to a new IRA.

An Individual Retirement Account provides either a tax-deferred or tax-free way for you to save for retirement. There are many types of IRAs but Roth, Traditional and Rollover IRAs are the most common.

IRAs rely on long-term, tax-advantaged compounding to provide your retirement savings the opportunity to grow more quickly than in a taxable account. When you earn interest, receive a dividend or sell an investment (such as a mutual fund) for a gain, you don't pay taxes that year on the earnings.

In retirement you may need as much as 100% of your current after-tax income. This makes it important to start saving sooner rather than later, and an IRA can help get you started.

You can choose from a full-range of investment products, including mutual funds, stocks, bonds and ETFs, as well as bank products like CDs and money market savings.

You can make contributions to an IRA for a given tax year until that year's tax return filing deadline, usually April 15 of the following year.

A Roth IRA conversion could help grow your retirement federal, and often state, income tax free. To help you convert to a Merrill Edge Roth IRA, call us 24/7 at 866.460.1282 for one-on-one assistance.

You have several choices when it comes to your old 401(k). Typically known as a rollover IRA, you can opt to transfer your money into an IRA. Another option is keeping the current 401(k) with your old employer or transfer it to a new employer plan.