Traditional IRA

Individual Retirement Accounts > Traditional IRA

Maximize your earnings potential

Open a Merrill Edge® Traditional IRA today and if you qualify for tax-deductible contributions, you may have the opportunity to lower your current tax bill — with no minimum balance. See all pricing and fees.
May be a good move for...
  • Reducing your current taxes
  • Tax-deferred growth potential
  • Investors under age 70½ with earned income
  • Single tax filers earning less than $72,000 (2017)
  • Joint tax filers earning less than $119,000 (2017)
 
Tab One

Simplify investing for retirement

Merrill Edge is a streamlined investment service 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.
 
Why Merrill Edge?
 
Did you know?
If you contribute to an employer-sponsored plan, like a 401(k) or 403(b), you may still be eligible for a Traditional IRA.
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
Looking for one-on-one advice?
Meet with a licensed Merrill Edge Financial Solutions Advisor™ in person or on the phone, who will help you pursue your financial goals and plan for what matters most to you.
More account choices
Tab Two

Why a Traditional IRA might be right for you

What are the advantages of a Traditional IRA?

  • Unlike a Roth IRA, the original contributions you make to your account may be tax-deductible and your account's earnings are tax deferred—so you'll have more to invest, maximizing your potential earnings return.
  • When you retire, withdrawals are taxed as regular income. If your original contributions were not tax-deductible, then they can be withdrawn federally tax free (state taxes may apply).
  • If you withdraw either your original contribution or earnings before you are age 59½, then you may also be subject to a 10% additional tax.

Am I eligible for a Traditional IRA?

  • Anyone under age 70½ who has earned income equal to or greater than their IRA contribution is eligible
  • If you contribute to an employer-sponsored plan like a 401(k) or 403(b), you are still eligible to open a Traditional 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, you can still make contributions to your IRA

What are the contributions limits and tax deductibility?

  • If you are under age 50, you can contribute up to $5,500 for 2017. For each year during which you're age 50 or older, you can make an additional $1,000 catch up contribution. Contributions must be made prior to each year's tax return deadline for the corresponding year—typically April 15th. Get details on IRA tax deductibility limits for 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 Traditional IRA?

  • Your Merrill Edge Traditional IRA has no minimum balance requirement. 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 Traditional IRA and start investing with help from a variety of free resources. Visit the Getting Started tab for details.

Looking for one-on-one advice?
Meet with a licensed Merrill Edge Financial Solutions Advisor™ in person or on the phone, who will help you pursue your financial goals and plan for what matters most to you.
More account choices
Tab Three

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 eligible 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.1 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 strategy and design 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 free 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.
 
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
Looking for one-on-one advice?
Meet with a licensed Merrill Edge Financial Solutions Advisor™ in person or on the phone, who will help you pursue your financial goals and plan for what matters most to you.
More account choices
Tab four

Simple flat-rate pricing

Merrill Edge offers simple, flat-rate pricing of $6.95 per unlimited online stock and ETF trades—with no trade or balance minimums. Or learn how to qualify for $0 trades with Preferred Rewards.Footnote3 Other fees may apply.2
 
Retirement account fees
Annual account fee
$0
Minimum initial funding requirement
$0
Additional services
Additional transaction, service and
investment fees.
See pricing details
Additional transaction and management fees

Footnote2 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?
Meet with a licensed Merrill Edge Financial Solutions Advisor™ in person or on the phone, who will help you pursue your financial goals and plan for what matters most to you.
More account choices
Ready to get started?
Open an account
888.637.3343
Call 24 hours a day, 7 days a week
Find a local Merrill Edge
Financial Solutions Advisor™
600 dollar IRA offer
Get up to $600 when you enroll, open and fund a new Merrill Edge® investment account or IRA.
How to qualify
1 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.

Eligibility: Commissions are only waived for online stock and ETF trades conducted via an individual or jointly owned online investing and trading personal CMA or IRA account.

Qualify for 30 $0 online stock and ETF trades per month (meet any one of these criteria):
1.   $25,000 or more in combined balances in your Bank of America deposit accounts through 09/30/2017
2.   $25,000 or more in combined cash balances in your Merrill Edge online investing and trading personal CMA and/or IRA accounts through 09/30/2017
3.   Preferred Rewards Platinum client

Qualify for 100 $0 online stock and ETF trades per month (meet any one of these criteria):
1.   Preferred Rewards Platinum Honors clients
2.   U.S. Trust Client

For details about commissions, transaction fees and any other fees that may apply visit merrilledge.com/pricing. Certain account types are not eligible. Other restrictions may apply. Relationship requirements and pricing are subject to change and/or termination without advance notice. For full details about ways to qualify for $0 trades, call 888.MER.EDGE (888.637.3343) or visit merrilledge.com/$0detail. Employees who are subject to an AIM policy must adhere to all of the policy guidelines relating to investment activities.
Equity securities sold through Merrill Edge self-directed investing are subject to stock market fluctuations that occur in response to economic and business developments.

Investing in Mutual Funds and ETFs involve certain risk. Investment returns may fluctuate and are subject to market volatility, so that an investor's shares, when redeemed or sold, may be worth more or less than their original cost.

Investing in fixed-income securities may involve certain risks, including the credit quality of individual issuers, possible prepayments, market or economic developments and yields and share price fluctuations due to changes in interest rates. When interest rates go up, bond prices typically drop, and vice versa.

A Brokered Certificate of Deposit is different than a bank Certificate of Deposit. It is sold for a bank by a broker while a Certificate of Deposit can be purchased directly from a bank. Brokered CDs may offer higher rates of return, but their value may fluctuate with changing interest rates. Banking products are provided by Bank of America, N.A. and affiliated banks. Members FDIC and wholly owned subsidiaries of Bank of America Corporation.

The offering of cash rewards, free trades, waiver of fees (including account fees), and/or any other thing of value may not be used as an inducement to sell any kind of insurance, including life insurance or annuities.

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.

Fees and expenses are subject to change. Please note that other fees and expenses may apply, including early withdrawal penalties and trustee transfer fees. For Merrill Lynch, Pierce, Fenner & Smith Incorporated's standard brokerage fees, please see the Miscellaneous Fees schedule. For Bank of America N.A.'s fees, see your Personal Schedule of Fees.

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