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First National Bank of Durango

Roth IRA

The chart below is designed to show you the value of saving on a regular basis and the benefit of compounding interest. *

  Average balance in your account if you
don't make any withdrawals
Annual Contributions In 5 Years In 10 Years In 20 Years In 30 Years In 40 Years

(About $2 per day)

$2,849 $6,379 $16,174 $31,217 $54,318
$1,000 $5,697 $12,757 $32,348 $62,434 $108,636
$2,000 $11,394 $25,515 $64,697 $124,868 $217,272
$3,000 $17,092 $38,272 $97,045 $187,302 $325,908
$4,000 $22,789 $51,029 $129,393 $249,736 $434,544

Unlike a contribution to a Traditional IRA, Roth IRA contributions are not tax deductible. However, when you withdraw money from a Roth IRA, none of it -- and that includes the interest -- will be taxed, assuming that the Roth IRA has been open for at least five tax-years and you are over age 59 ½. If you withdraw money before the age 59 ½, an IRS penalty will apply.

* The chart above is based on an Annual Percentage Yield of 4.29%. Yields may vary with a First National Bank of Durango IRA.

First National Bank of Durango Account Information:
Interest is compounded daily for all IRA accounts. Fees may reduce earnings. There is a $500 minimum balance required to open an IRA. The First Flex IRA interest rate is variable and subject to change at any time without notice. A penalty may be imposed for early withdrawal. Please see a Universal Banker for complete details.