Establishing a Retirement Account

You can open an Individual Retirement Account with The Flex-funds and create an investment portfolio from the funds available in our family of no-load mutual funds.

You should consider whether the Traditional or Roth IRA is right for you, before establishing your account. There are certain benefits and restrictions with each type of IRA. You should understand these benefits and rules before you open a retirement account.

Traditional IRA

• Tax-deferred earnings
• Taxes paid on earnings upon withdrawal
• Contributions can be deducted from your income tax return, up to $2,000 per year
• Non-working spouses can deduct up to $2,000 in annual contributions
• No deductions if you contribute to an employer-sponsored plan such as a 401(k)
• Withdrawals without penalty can begin at age 59 ½
• Withdrawals are required at age 70 ½

Roth IRA

• Tax-free earnings, even upon withdrawal (as long as it is a "qualified distribution")
• Contributions are not tax deductible
• Withdrawals of contributions are allowed at any time without penalty
• Withdrawals of earnings without taxes or penalty allowed after 5 years and age 59 ½, or for the purchase of a first home

The Flex-funds also offers SIMPLE IRAs and Simplified Employee Pension Plans for self-employed individuals and owners of small businesses. Please contact The Flex-funds Shareholder Services for information on these types of accounts.