Facebook pixel Skip to main content
Choose Better Banking

IRA & Education

Whether you're saving for retirement or tuition, we've got you covered with Traditional, Roth, and Coverdell savings and certificates.

How would you like your money to grow?

Choose to grow your IRA or Education Savings in an accumulation savings account or as a certificate of deposit. 

IRA & Education Savings Accounts

Dividends in an IRA or Education Savings Account are compounded and credited monthly. The dividend rate is variable and substantially higher than a regular savings account. Your savings are available at anytime for withdrawal.†

IRA & Education Certificates

Just like a regular certificate, an IRA or Education Savings Certificate rewards you with a higher dividend rate for pledging your funds over a certain term, ranging from 6 to 60 months. Your dividend rate is locked in for the duration of the term and dividends are compounded and credited monthly. Unlike an accumulation savings account, funds are not available for withdrawal (without penalty) before the term is over.†

IRA & Education Dividend Rates

Effective March 6, 2024
TermBalanceDividend RateAPY*
Variable-Rate Savingsall balances0.45%0.45%
6 months$250.00 - $24,999.991.49%1.50%
6 months$25,000.00 and above1.54%1.55%
12 months$250.00 - $24,999.991.98%2.00%
12 months$25,000.00 and above2.03%2.05%
18 months$250.00 - $24,999.992.23%2.25%
18 months$25,000.00 and above2.28%2.30%
24 months$250.00 - $24,999.992.47%2.50%
24 months$25,000.00 and above2.52%2.55%
36 months$250.00 - $24,999.992.96%3.00%
36 months$25,000.00 and above3.01%3.05%
48 months$250.00 - $24,999.993.05%3.10%
48 months$25,000.00 and above3.10%3.15%
60 months$250.00 - $24,999.993.05%3.10%
60 months$25,000.00 and above3.10%3.15%

*APY= Annual Percentage Yield.
View Certificate Disclosure

How would you like to designate your account?

How you designate your retirement or education savings account can have a huge impact on your income tax return and retirement income strategy. Retirement accounts can be designated as a Roth IRA or as a Traditional IRA, while savings for education designated as a Coverdell Education Savings Account.

Income and contribution limits also apply. Consult your tax advisor to determine your eligibility for each account. For retirement accounts, the choice between Roth and Traditional IRAs will have a large impact on the income tax you pay, both now and during retirement. If you are eligible for either a Roth or a Traditional IRA, consider opening both as a strategy for having tax diversification.

Roth IRA

A Roth IRA is a good choice for young people who are just entering the workforce and those with lower incomes as the Roth has income limitations. (If you make too much money, you are not allowed to invest in a Roth.) While your contribution to a Roth won’t be a tax deduction now, your earnings in the IRA will accumulate tax-free. This can add up significantly over time! As a result, when you withdrawal funds during retirement, you won’t pay any income tax on them.

A Roth IRA is also a good choice if you know you will need your money sooner than age 59 ½ — it allows you to withdrawal contributions penalty-free at any time for any purpose.

Traditional IRA

A Traditional IRA is useful for those earning a large income, especially if you don’t qualify for a Roth. Contributions to a Traditional IRA are tax-deductible. Instead of paying income tax on the money you invest now, you pay the tax when you withdrawal the funds as income during retirement. If you expect you will be in a lower tax bracket during retirement, this could be a tax savings.

Funds in a Traditional IRA are typically reserved exclusively for retirement, although early withdrawal without penalty is permitted for certain expenses, like buying your first home.

Coverdell Education Savings Accounts

Previously known as an “Education IRA”, a Coverdell is designated for any beneficiary under age 18 for the exclusive purpose of funding education expenses. Contributions are not tax deductible and are limited to $2,000 per child beneficiary per tax year. Parents, grandparents, other relatives, friends and even minors (with earned income) can set up and contribute to multiple Coverdell Education Savings Accounts, all to benefit the same child, so long as the $2,000 annual contribution limit is not exceeded for that child. There is no limit on number of children or total contributions one person can make.

Withdrawals from a Coverdell Education Savings Account are tax-free, including dividends, as long as the funds are used for qualified education costs. For additional information visit, Coverdell Education Savings Accounts.

Open an Account Today!

It’s easy to open an IRA or Education Savings Account:

Request more information by phone at 609-646-3339 or 1-888-322-2848 toll-free and select option 2. Member Service Representatives are available to take your request by phone during business, evening and weekend hours. Check our Call Center Hours for availability.

†Subject to federal tax laws specific to Traditional, Roth or Coverdell Accounts. Consult your tax advisor.

Share this... it's a Shore Thing!