Roth IRA

Enjoy tax-free income during retirement with a Roth IRA

Give your earnings the potential to grow free of federal income taxes with a Merrill Edge® Roth IRA. Roth IRAs may offer you greater tax savings and withdrawal flexibility than Traditional IRA1. See all pricing and fees.
May be a good move for...
  • Growth and greater withdrawal flexibility
  • Single tax filers earning less than $132,000 (2016), $133,000 (2017)
  • Joint tax filers earning less than $194,000 (2016), $196,000 (2017)
 
Why Merrill Edge

Simplify investing for retirement

Merrill Edge offers you a streamlined investing experience that gives you access to the investment insights of Merrill Lynch with the convenience of Bank of America banking. We'll help you pursue your goals with easy-to-use tools, independent research and simple flat-rate pricing.
Did you know?
You can convert an existing Traditional IRA to a Roth IRA and benefit from increased flexibility and potentially tax-free income in retirement.
Get help choosing the right IRA
Help when you need it
See if a Roth or Traditional IRA may be right for you. Find the right IRA
Explore and compare the differences between Roth and Traditional IRAs. Compare IRAs
Transfer an existing IRA to Merrill Edge. Learn more
Roth IRAs Made Simple

Why a Roth IRA might be right for you

What are the advantages of a Roth IRA?

  • Contributions are subject to regular federal and state income taxes.
  • Earnings are tax-free if withdrawn after age 59½ and your account has been open for at least five years. This is true for both federal and in most cases state income taxes.
  • Contributions (not earnings) can be withdrawn tax-free at any time. And there is no required minimum distribution at or after age 70½.

Am I eligible for a Roth IRA?

  • Anyone can open and contribute to a Roth IRA as long as your modified adjusted gross income (your AGI after deductions) does not exceed $132,000 (2016), $133,000 (2017) for single filers and $194,000 (2016), $196,000 (2017) for joint filers and your earned income is equal to or greater than your IRA contribution amount for 2016 or 2017.
  • If you contribute to an employer-sponsored plan like a 401(k) or 403(b), you are still eligible to open a Roth IRA as long as you meet the eligibility requirements above.
  • If you have no earned income but your spouse earns enough income to cover your contribution as well as their own, and their income (AGI) does not exceed the limits above, you can contribute to a Roth IRA account.

What are the contributions limits?

  • If you are under age 50, you may be able to contribute up to $5,500 for 2016 or 2017. Beginning when you become 50 or older, you can make an additional $1,000 "catch up" contribution each year. Contributions must be made on or prior to each year's initial tax-return filing deadline for the corresponding year — which typically is April 15th. Get details on IRA contribution limits for 2016 or 2017.

What investment choices will I have?

  • At Merrill Edge, you'll have access to a full range of investment choices. Select from a wide array of stocks, bonds, options, ETFS, well-known mutual funds and managed portfolios.
  • You may also consider investing in a Money Market IRA or Featured CD IRA offered through Bank of America, N.A.

Are there any fees associated with a Roth IRA?

  • Your Merrill Edge Roth IRA has no minimum balance requirement and no annual account fee. Additional transaction, service or investment fees may apply. See pricing for details.

How do I open an IRA?

  • It takes just minutes to open your account online. Then, you can quickly fund your new Merrill Edge account and start investing with help from a variety of free resources. Visit the Getting Started tab for details.

How can I convert to a Roth IRA?

  • To convert to a Roth IRA call us at 1.888.637.3343 for one-on-one assistance and we'll guide you every step of the way. We can help you convert any of these types of accounts:
    • For a Traditional IRA at Bank of America or Merrill Edge, we will help you open a Roth IRA and fill out the conversion form. Here's what you'll need
    • For an IRA outside of Bank of America or Merrill Edge, we will help you transfer your Traditional IRA and assist you with the Roth IRA conversion
    • For assets in a 401(k) from a former employer, we will help you transfer your assets from your 401(k) and assist with the Roth IRA conversion

Getting Started

Three ways to get started

1
Open your account
It takes just minutes to open your account online. Here's what you'll need.
If you need help, give us call at 1.888.637.3343 — 24 hours a day, 7 days a week.
 
2
Fund your account
Fund your account instantly in real time from your linked Bank of America bank account, and also by linking to an account at another financial institution. Or, transfer funds to your account by check, by wire transfer, or by transferring or rolling over an existing account.2 Learn how to fund your account.
 
3
Start investing
Create an investment strategy
Become a smarter investor with help from our Financial Learning Center. Here you'll learn how to make a plan and build a balanced portfolio aligned to your investing goals.
Find the right investments
Start with BofA Merrill Lynch US 1 List, Merrill Edge Select® Funds and Merrill Edge Select® ETFs. Then, narrow your investment choices with powerful screening tools and make informed investment decisions with access to independent research.
Manage your portfolio
Access your new Merrill Edge investment account anytime, anywhere — online, on your mobile device and at thousands of Bank of America ATMs.
 
Get help choosing the right IRA
Help when you need it
See if a Roth or Traditional IRA may be right for you. Find the right IRA
Explore and compare the differences between Roth and Traditional IRAs. Compare IRAs
Pricing

Simple flat-rate pricing

Merrill Edge offers simple, flat-rate pricing of $6.953 per unlimited online equity and ETF trades  — that's lower standard pricing than Fidelity, Schwab and E*TRADE.4 Learn how you can qualify for $0 trades.5 See fee details.
 
Retirement account fees
Annual account fee
$0
Minimum initial funding requirement
$0
Additional services
Additional transaction, service and
investment fees.
Additional transaction and management fees

3 In addition to your stocks or ETF commissions, sell orders may be subject to a transaction fee (of between $0.01 to $0.03 per $1,000 of principal). The Securities and Exchange Commission imposes this assessment on the financial services industry to cover the U.S. Government's costs of regulating the security markets and security professionals. If applicable, this fee appears under "Transaction Fee" on a Trade Confirmation. There are also fees associated with investing in ETFs. Read the Expenses and Charges sections of the prospectus to find out what they are. Contact us to obtain a prospectus. A traditional share liquidation fee of 10% of fractional share proceeds may apply.
Looking for one-on-one advice?
A licensed Merrill Edge Financial Solutions Advisor™ can answer questions, provide ongoing guidance and work with you to create an investment action plan.
Ready to get started?
Open an account
888.637.3343
Call 24 hours a day, 7 days a week
1 There is a single, 5-year holding period when determining whether earnings can be withdrawn as part of a qualified distribution free of federal (and, in most cases, state) income tax-free from a Roth IRA. This period begins January 1 of the year of the first contribution to any Roth IRA account.

2 You have choices for what to do with your employer sponsored retirement plan. Depending on your financial circumstances, needs and goals, you may choose to roll over to an IRA or convert to a Roth, roll over to an employer sponsored plan from a prior employer to an employer sponsored plan at your new employer, take a distribution or leave the account where it is. Each choice may offer different investment options and services, fees and expenses, withdrawal options, required minimum distributions, tax treatment and provide different protection from creditors and legal judgments. These are complex choices and should be considered with care. Visit http://www.merrilledge.com/retirement/rollover-ira or call a Merrill Edge rollover specialist at 1.888.637.3343 for additional information about your choices.

4 Fidelity's standard online price is $7.95 per equity or ETF trade (excluding certain iShares and Fidelity ETFs offered commission-free). Schwab's standard online price is $8.95 per equity or ETF trade (excluding ETFs available through Schwab ETF OneSource™ when placed in a Schwab account that are available commission-free). E*TRADE's standard online price is $9.99 for equity commissions and $7.99 for customers who trade at least 150 times per quarter. Note: Competitive comparison pricing information as of 10/9/15 excludes special promotional offerings.

a E*TRADE's standard online price for equity, ETF or option trade is $9.99, $7.99 for customers who trade at least 150 times per quarter, $6.99 for customers who trade 1,500+ times per quarter
b For TD Ameritrade ETFs: the ETF must be on list of 100+ commission-free ETFs and must be held for a minimum of 30 days in order to not incur a fee. Also, the user must be enrolled to qualify.
c Schwab's standard online price is $8.95 per equity or ETF trade (excluding ETFs available through Schwab ETF OneSource™ when placed in a Schwab account that are available commission-free).
d Excludes iShares and Fidelity ETFs

5 $0 trades are only available with an individual or joint Merrill Edge self-directed brokerage account. When placing a trade, Merrill Lynch, Pierce, Fenner & Smith Incorporated (MLPF&S) determines whether you meet the balance or relationship requirements to qualify that trade for the $0 waiver. To determine the number of qualifying trades, MLPF&S adds the qualifying trades in your individual accounts and joint accounts. Commission fees apply when qualification requirements are not met, or when you exceed the number of qualifying trades a month.

6 Merrill Edge Roadmap® participation requires a Merrill Edge Advisory Center account.

Brokerage fees associated with, but not limited to, margin transactions, option trading, special stock registration/gifting, account transfer and processing, research request and termination apply.

a) Commissions are waived for 30 online equity trades each month including stock and exchange traded funds (ETFs) on behalf of MLPF&S, for customers who meet any one of the following criteria:
i) Combined total of $25,000 or more in your deposit accounts at Bank of America, N.A. MLPF&S adds the average collected balances in your deposit accounts as of the prior month to the balances in your bank CD and IRAs as of the prior business day. Bank deposit accounts with the same Social Security number (SSN) as the SSN(s) on the self-directed brokerage account are systematically included in the balance determination. Standard deposit account fees apply.
ii) Or combined balance of $25,000 or more in cash balances in one or more of the following sweep options in your Merrill Edge self-directed account(s) as of the prior business day:

- Bank Deposit Accounts sweep option with your Cash Management Account® (CMA®)
- Retirement Assets Savings Program sweep with your IRA
iii) Or Client of U.S. Trust
iv) Or Client of Preferred Rewards Platinum
b) Commissions are waived for 100 online equity trades each month including stock and ETFs on behalf of MLPF&S, for customers who meet any one of the following criteria:
i) A Client of Preferred Rewards Platinum Honors
ii) Or Client of Banking Rewards Wealth Management U.S. Trust

This offer does not apply to Business/Corporate Accounts, Investment Club Accounts, Partnership Accounts and certain fiduciary accounts held at MLPF&S. Other fees and restrictions may apply. Relationship requirements and pricing are subject to change and/or termination without advance notice. To learn about additional ways to qualify for $0 trades, call 1.888.MER.EDGE (1.888.637.3343).

You are eligible to enroll in the Preferred Rewards program if you have an active, eligible Bank of America personal checking account and maintain a three month average combined balance in your qualifying Bank of America deposit accounts and/or your qualifying Merrill Edge and Merrill Lynch investment accounts of at least $20,000 for the Gold tier, $50,000 for the Platinum tier, or $100,000 for the Platinum Honors tier. SafeBalance Banking accounts do not count towards the account or balance requirements, and do not receive the fee waivers and other benefits of the program. Certain benefits are also available without enrolling in Preferred Rewards if you satisfy balance and other requirements. For details on Employee qualification requirements, please visit the Employee Banking & Investments website. The Preferred Rewards Gold tier does not include the $0 online equity and ETF trades via Merrill Edge®, a benefit that is currently available at the Platinum and Platinum Honors tiers of Preferred Rewards. Merrill Lynch Wealth Management clients with greater than $250,000 in assets with Bank of America and Merrill Lynch are eligible for additional banking benefits. Please speak with your Merrill Lynch financial advisor for details.

ARFV6R35-EXP093017 (PP)
AR6JF4HV-EXP081517