Traditional IRAs — Module Overview
Module 1 explores Traditional IRAs — the first type established by Congress in 1974 and made broadly available in 1982. Traditional IRAs allow individuals with earned income to contribute annually to a retirement account. The earnings in the account grow tax-deferred and are generally taxed when withdrawn by the account holder.
Initially, all contributions to traditional IRAs were tax-deductible. Since 1987, the question of deductibility has been based on whether the account holder is covered by another “qualified” retirement plan and the account holder’s income level. Regardless of whether the contribution can be deducted, all workers with earned income may make contributions to their traditional IRAs. Withdrawals from traditional IRAs are subject to various restrictions.
This module covers the following topics. Click any topic to begin, or use the Next button at the bottom of each page to proceed in order.