Traditional Individual Retirement Accounts

Individual Retirement Accounts (IRAs) were created to encourage individuals to save and supplement their retirement savings.

IRA Requirements:

Contribution Limits for 2009 and 2010
An individual under 50 years old may open an IRA account with the lesser amount of $5,000 or 100% of their earned income. An individual over 50 years old may contribute the lesser amount of $6,000 or 100% of their earned income.

Account holders must be under the age of 70-1/2.

Contributions into the IRA accounts may be totally tax deductible for the tax year that they are made.

Distributions may start at the age of 59-1/2. Required Minimum Distributions have been reinstated for the tax year of 2010 for all account holders 70.5 and older. If the required amount is not withdrawn by the applicable dead line the IRS will penalize 50% of the amount.

FNB Accounts:

Variable: Variable interest rate accounts are available where multiple deposits may be made throughout the year until the goal is met. Minimum deposit is $25.

Fixed: Fixed interest rate accounts are available where a lump-sum amount is deposited at the time of opening. Minimum deposit amount is $500.

Statements: Each account holder is provided with annual and periodic interest statements.

Fees: We do not charge any service charges or administrative fees.

Auto Transfer: We offer automatic transfers from another FNB deposit account into your IRA account free of charge.

FDIC Insurance up to $250,000 for each individual's total retirement plan.

For current IRA Rates, please click here

For information about Roth IRA accounts, please click here.