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Individual Retirement Arrangements (IRAs)

The purpose of an IRA is to help you save for retirement while realizing significant tax advantages.  An IRA is a smart move whether you use it as your primary source of retirement income or as a supplement to other retirement investments or employer-sponsored plans. 

Safe. Secure. Guaranteed. Elmira Savings Bank has a full range of options designed specifically to help meet your retirement goals.  Each arrangement comes with the safety of FDIC insurance, the security of guaranteed returns, and exceptional personal service of our bankers. 

Consider supplementing your current retirement plan. Mixing the types of investments you have is the best course of action to minimize risk and maximize returns over the long term.

Choose an IRA Account that best suits your lifestyle. We will be happy to help you choose the product best suited to your retirement savings needs. The PensionFlex Savings Account works like a regular savings account, but with higher interest earnings. You make contributions when you want – in person, automatic deposit, payroll deduction, etc. – up to the maximum annual contribution allowed.  An IRA Certificate of Deposit allows you to earn today’s interest rate for up to 5 years. Contact your local branch office or call us at (607) 734-3374, (888) 372-9299, for current interest rates and additional details.

Click here to view our current IRA specials.

Choose the right IRA Plan.  Your individual situation determines which type of IRA is appropriate for your retirement savings plan.  Here are the basics of each:



Anyone under age 70½ who has earned income equal to or greater than their IRA contribution amount is eligible

Contributions may be tax deductible (consult your tax advisor for details)

Earnings are tax-deferred until withdrawn after age 59½  when your tax rate may be lower

Contributions and earnings may be withdrawn IRS penalty-free after age 59½

A minimum distribution from the IRA is required in the year you become 70½  and every year thereafter  

You are eligible at any age provided your adjusted gross income does not exceed:
(2018 Tax Year)

$135,000   Single Tax Filers      $199,000   Joint Tax Filers

Contributions are not tax deductible

Earnings are tax-free if withdrawn after age 59½  and the plan has been open for at least five years

Contributions (not earnings) can be withdrawn IRS tax and penalty-free at any time

No minimum distribution is ever required from this IRA


The Internal Revenue Service publishes IRA maximum contribution limits each year.  In 2018, the maximum contribution limit is $5,500.00.  Individuals age 50 and up, can add an additional $1,000.00 per year as a “catch-up” contribution.

Education IRA (Coverdell Education Savings Account)

A Coverdell Education Savings Account (CESA) is an account created as an incentive to help parents and students save for future education expenses.

The total contributions for the beneficiary of this account cannot exceed $2,000.00 in any year, no matter how many accounts have been established. A beneficiary is someone who is under the age of 18 or is a special needs beneficiary.


Distributions are tax-free as long as they are used for qualified education expenses

No tax on distributions if they are for enrollment or attendance at an eligible educational institution

Hope and Lifetime Learning Credits can be claimed in the same year the beneficiary takes a tax-free distribution (consult your tax advisor for details)

Contribution limits for taxpayers based on the contributor’s Modified Adjusted Gross Income (MAGI)


Consult your tax advisor or go to for more details.


For detailed information regarding our products and services, to receive a copy of the Truth in Savings disclosure for a specific account, or to receive a copy of our Additional Services Fee Schedule, stop by your local branch office or contact us at (607) 734-3374 or toll free at (888) 372-9299.


Elmira Savings Bank • 333 E. Water St., Elmira, NY 14901 • Phone: (607) 734-3374 • (888) 372-9299 •       

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