Encyclopedia of Investment Terminology

Return to Stock Market and Investment Encyclopedia Index

Traditional IRA

A traditional individual retirement account is a retirement fund that a person has with a bank, mutual fund, or investment company. All contributions to a traditional IRA are tax deductible. A person must start withdrawing from a traditional IRA when one reaches the age of 70 1/2. Withdrawals are also subjected to tax because they are treated as income.

Return to Index

Copyright 2008 StockDic.com
All Rights Reserved.