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Traditional IRA

Save for retirement with tax‑deferred growth

With a traditional IRA, generally you make contributions to save for retirement and pay taxes on withdrawals later.Footnote 1

Traditional IRA Account Benefits

Make potentially tax-deductible contributionsFootnote 2
Let earnings grow tax-deferred until withdrawn
Defer taxes until you make withdrawals laterFootnote 1
Invest in stocks, mutual funds, ETFs and more
Question:
What is my contribution limit for a traditional IRA?
 
Answer:
You may be eligible to contribute up to $6,000 per year ($7,000 if you are 50 or older)Footnote 2

Find out if your savings are on track for retirement

Our Personal Retirement Calculator can help you estimate how much you'II realistically need to retire and whether or not you're on track for achieving that goal.
Select to Try our Personal Retirement Calculator

Which IRA is right for you?

Compare the features of IRAs available at Merrill, find out which ones you are eligible for and learn details like contribution limits and how much of your contributions are tax deductible.

What's a key difference between a traditional IRA and a Roth IRA?

With a traditional IRA, your contributions may be tax deductible. Taxes are deferred until you make withdrawals. With a Roth IRA, you always contribute after-tax dollars and make potentially tax-free withdrawals in retirement.Footnote 3
Select to Learn more about all IRAs available at Merrill

Get up to $600 when you invest in a new Merrill Edge® Self‑Directed account.

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Discover your investment choices

Find the investments that work for your portfolio, whether you're interested in trading stocks, ETFs, mutual funds or fixed income investments.
Merrill offers transparent pricing for trades, account services and investment advisory programs.
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Ready to get started?

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or call us at 888.637.3343

Frequently Asked Questions

Footnote 
The required beginning date for RMDs is age 72. You may defer your first RMD until April 1st in the year after you turn age 72, but then you'd be required to take two distributions in that year. Failure to take all or part of an RMD results in a 50% additional tax applicable to the amount of the RMD not withdrawn. Consult your tax advisor for more information on your personal circumstances.
Footnote 
Contribution and compensation limits are subject to a cost-of-living adjustment annually pursuant to the Internal Revenue Code. Contribution and compensation limits for subsequent years may vary.
Footnote 3 There is a single, 5-year holding period when determining whether earnings can be withdrawn federal (and, in most cases, state) income tax-free as part of a qualified distribution from a Roth IRA. This period begins January 1 of the year of the first contribution to any Roth IRA account.

Footnote 
Merrill waives its commissions for all online stock, ETF and option trades placed in a Merrill Edge® Self-Directed brokerage account. Brokerage fees associated with, but not limited to, margin transactions, special stock registration/gifting, account transfer and processing and termination apply. $0 option trades are subject to a $0.65 per-contract fee. Other fees and restrictions may apply. Pricing is subject to change without advance notice.
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Investing in securities involves risks, and there is always the potential of losing money when you invest in securities.

Asset allocation, diversification, and rebalancing do not ensure a profit or protect against loss in declining markets.
Merrill, its affiliates, and financial advisors do not provide legal, tax, or accounting advice. You should consult your legal and/or tax advisors before making any financial decisions.

This material is not intended as a recommendation, offer or solicitation for the purchase or sale of any security or investment strategy. Merrill offers a broad range of brokerage, investment advisory (including financial planning) and other services. Additional information is available in our Client Relationship Summary (PDF).

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Investment products offered through MLPF&S and insurance and annuity products offered through MLLA:
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