Deciding between Roth and Traditional IRAs.
Compare the two types of IRA accounts to see which is right for you.
Roth IRA
Funded with after-tax dollars.
Earnings and qualified withdrawals are tax-free.
Contributions are not tax deductible.
Limitations applyTraditional IRA
Funded with pre-tax dollars.
Earnings are tax-deferred.
Contributions are tax-deductible up to certain income limits.
Limitations applyRoth IRA
Think your tax rate will be higher when you withdraw? Go with a Roth IRA.
Traditional IRA
Think your tax rate will be lower when you withdraw? Choose a Traditional IRA.
Roth IRA
(limits based on income and tax filing status).
Traditional IRA
(income limits apply for tax-deductible contributions)
Roth IRA
Withdraw earnings without IRS penalty at age 59½ if your account is at least 5 years old.
Traditional IRA
Withdraw contributions and earnings without IRS penalty at age 59½.
Distributions are required to start by age 70½ if you were 70½ by 12/31/2019. If you turn 70½ in 2020 or years following, distributions will not be required until you are age 72.
Say goodbye to fees.
Our Discover IRAs come with no fees. Period. We don’t charge any incoming or outgoing wire service charge for IRA products.
Find the IRA that best fits your life and retirement plan.
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IRA CD Best for: Guaranteed return with flexible terms. |
IRA Savings Best for: Flexible contributions that work with any budget. |
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|---|---|---|
| Minimum opening deposit | $2,500 | $0 |
| Annual percentage yield |
X.XX% APY(3m) — X.XX% APY (10yr)
Annual Percentage Yield (APY) is accurate as of XX/XX/XXXX and is subject to change without notice. The APY will be determined and fixed for entire IRA CD term once account is opened and correctly completed documentation and funding is received. We will send you written confirmation of the interest rate, APY and maturity date of your IRA CD after it is opened or funded. Applies to personal accounts only. A penalty may be charged for early withdrawal. Minimum opening balance is $2,500. Consult a financial advisor or tax professional for guidance. |
X.XX% APY
Annual Percentage Yield (APY). Advertised IRA Savings Account APY is accurate as of XX/XX/XXXX. Applies to personal accounts only. Fees could reduce earnings on the account. APY may change before or after the account is opened. No minimum deposit to open. |
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Early withdrawal penalty
A penalty may be charged for early withdrawal. See Section 36 in the Deposit Account Agreement for details. |
Yes | No |
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Account fees
We don't charge any incoming or outgoing wire service charge for IRA products. |
None | None |
| Roth and Traditional IRA options | Yes | Yes |
| Open an Account Open an Account Learn More | Open an Account Open an Account Learn More |
Fund your tomorrow with ease.
Invest in your future with these simple ways to fund Discover IRAs.
When you contribute funds, you’ll be depositing money that is not presently deposited in any type of retirement account. The IRS imposes annual limits on how much you can contribute. You may want to contact a financial advisor or tax professional for further information.
- Transfer money that is not currently deposited in any type of retirement account directly into our IRAs.
When you rollover funds, you receive the funds through a distribution from your IRA. You then have 60 days from receipt of those funds to roll them into another IRA or qualified retirement plan to avoid tax consequences. IRA owners are limited to only one IRA-to-IRA rollover in any 12-month period. Rollovers are not counted toward your annual contribution limits. The above reflects general rollover rules. You may want to contact a financial advisor or tax professional for further information and information specific to your circumstances.
- Move money from other retirement plans or accounts into one of our IRAs with ease.
When you transfer an IRA, the funds are moved directly from one financial institution to another. The transfer check is made payable to your financial institution for your benefit. Because you don’t handle the funds directly, the transaction is not considered a distribution. There is no limit to the number of transfers you can make.
- Easily transfer an IRA from another financial institution to one of our IRAs.
Know your limits.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
IRAs are subject to IRS contribution limits.
Use this calculator to determine the max you can invest.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
Let's get started! How old are you?
What's your modified adjusted gross income?
What's your filing status?
Do you participate in an employer retirement plan?
Here's how much you can invest.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
If eligible, contributions may be made to both a Traditional IRA and a Roth IRA, but the aggregate amount cannot exceed the maximum annual contribution limit.
A person can make an annual contribution to a Traditional or Roth IRA at any age as long as they have earned income. To which type of IRA plan and how much can be contributed or can be treated as tax deductible is influenced by many factors. Factors that may influence the amounts you are able to contribute or deduct may include your age, Modified Adjusted Gross Income, your tax filing status and whether you or spouse participate in a work retirement plans such as a 401(k). The accuracy of the values shown is not guaranteed by any party and is intended for educational purposes only. The illustration might presume a factor differently than it should apply to your personal situation. You should consider consulting a tax professional, at your expense, if you have questions; including how your circumstances impact contribution limits and potential deductibility of contributions. The illustration utilizes 2023 IRS contribution limits. The information displayed is not advice and it may not reflect actual products, services, rates, APYs, and/or terms available from Discover Bank. Nothing contained in this example is an offer, solicitation or guarantee for any product or service that may be available from Discover Bank.
Roth IRA
Traditional IRA
IRA Certificate of Deposit
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