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IRA Savings Account

Plan for tomorrow, live for today

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X.XX% APY

Annual Percentage Yield (APY). Advertised IRA Savings Account APY is accurate as of XX/XX/XX. Applies to personal accounts only. Fees could reduce earnings on the account. APY may change before or after the account is opened. No minimum deposit to open.
Get the tax advantages of an IRA with the benefits of online savings.
Best for: Tax-advantaged savings

The information provided herein is for infomrational purposes only and is not intended as a substitute for professional advice. Please consult your tax advisor with respect to the information and how it relates to you.
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Get that no-fee feeling
No. Fees. Period. That means you won't be charged an account fee on our IRA Savings Account.

We don't charge any incoming or outgoing wire service charge for IRA products.

You'll never pay fees for the following:

  • Monthly maintenance
  • Official bank check
  • Excessive withdrawals
  • Expedited delivery for official bank checks
  • Deposited item returned
  • Stop payment order
  • Insufficient funds
  • Account closure

Deciding between Roth and Traditional IRAs

Compare the two types of IRA savings accounts to see which is right for you.

The information provided herein is for informational purposes only and is not intended as a substitute for professional advice. Please consult your tax advisor with respect to the information and how it relates to you.

  • Main differences

    Roth IRA

    Pay now, save later

    Funded with after-tax dollars.

    Earnings and qualified withdrawals are tax-free.

    Contributions are not tax deductible.

     Limitations apply

    Traditional IRA

    Earn now, pay later

    Funded with pre-tax dollars.

    Earnings are tax-deferred.

    Contributions are tax-deductible up to certain income limits.

     Limitations apply
  • Maximize for taxes

    Roth IRA

    Get taxes out of the way

    Think your tax rate will be higher when you withdraw? Go with a Roth IRA.

    Traditional IRA

    Pay taxes later

    Think your tax rate will be lower when you withdraw? Choose a Traditional IRA.
  • Eligibility

    Roth IRA

    Anyone with taxable earned income within IRS limits

    (limits based on income and tax filing status)

    Traditional IRA

    Anyone with taxable earned income within the IRS limits

    (income limits apply for tax-deductible contributions)
  • Making withdrawals

    Roth IRA

    Withdraw anytime

    Withdraw earnings without IRS penalty at age 59½ if your account is at least 5 years old.

    Traditional IRA

    Withdraw when you’re 59½

    Withdraw contributions and earnings without IRS penalty at age 59½.

    Distributions are required to start by age 70½ if you were 70½ by 12/31/2019. Distributions are required to start by age 72 if you turned 72 from 1/1/2020 to 12/31/2022. If you turned 73 in 2023 or years following, distributions will not be required until you are age 73.
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Fund your tomorrow with ease

Invest in your future with these simple ways to fund a Discover IRA Savings Account.

  • Contributions

    When you contribute funds, you’ll be depositing money that is not presently deposited in any type of retirement account. The IRS imposes annual limits on how much you can contribute. You may want to contact a financial advisor or tax professional for further information.

         Transfer money that is not currently deposited in any type of retirement account directly into our IRAs.

  • Rollovers

    When you rollover funds, you receive the funds through a distribution from your IRA.  You then have 60 days from receipt of those funds to roll them into another IRA or qualified retirement plan to avoid tax consequences. IRA owners are limited to only one IRA-to-IRA rollover in any 12-month period.  Rollovers are not counted toward your annual contribution limits. The above reflects general rollover rules. You may want to contact a financial advisor or tax professional for further information and information specific to your circumstances.

         Move money from other retirement plans or accounts into one of our IRAs with ease.

  • Transfers

    When you transfer an IRA, the funds are moved directly from one financial institution to another. The transfer check is made payable to your financial institution for your benefit. Because you don’t handle the funds directly, the transaction is not considered a distribution. There is no limit to the number of transfers you can make.

         Easily transfer an IRA from another financial institution to one of our IRAs.

Add a little fuel to your future

See how fast % APY

Annual Percentage Yield (APY). Advertised Online Savings Account APY is accurate as of XX/XX/XXXX. Applies to personal accounts only. APY may change before or after the account is opened. No minimum deposit to open.

 adds up with our high-yield IRA Savings Account interest rate calculator.

This calculator and the values shown are intended for illustrative and informational purposes only and may not apply to your individual circumstances. This calculator uses an Annual Percentage Yield (APY) that is rounded to the nearest one-hundredth of one percentage point, e.g., .01%. However, actual interest earned calculations use an APY that is rounded to the nearest one-thousandth of one percentage point, e.g., .011%. As a result, the estimated interest earned value shown here may vary from the actual interest earned on your account. Calculation assumes principal and interest remain on deposit and interest rate and APY do not change.
$
Please enter an amount between $2,500 and $5,000,000.
Yearsyrs
Total interest earned
Total interest you’ll earn with our IRA Savings Account

Amount is cumulative interest earned over duration of time chosen.
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‘Total savings’ equals initial deposit plus interest earned over duration of time chosen.

IRA Savings FAQ

View IRA FAQ

To open an IRA Savings account, there is no minimum deposit required.

Yes. You can have multiple Savings IRA accounts as well as you can have both Traditional and Roth IRA accounts at Discover. Your Traditional IRA accounts will be grouped into and administered under a single Traditional IRA plan, and Roth IRA accounts will be grouped into and administered under a single Roth IRA plan. Additionally, if you maintain Inherited IRA accounts, they will also be in separate plans because they need to be managed separately.

Interest is compounded daily, credited to your IRA Savings account monthly, and calculated on a 365-day basis. For additional detail, see Section 5 of the Deposit Account Agreement.

Yes. We recommend that all of our IRA plan holders designate at least one beneficiary by completing the IRA Designation or Change of Beneficiary form. When completing the form make sure to:

  • Name your primary beneficiary in section 2
  • Complete section 3 for spousal consent if you are designating someone other than your spouse as 100% primary beneficiary
  • Name your contingent beneficiaries and their share in whole numbers totaling 100%
  • Sign and date it

We also recommend reviewing your beneficiary information after a major life event, such as marriage, divorce, birth or adoption of a child, or death. If a beneficiary is not designated, beneficiary payment will generally go to the IRA plan holder's estate, which is subject to any applicable community property state law requirements.

Please note: Beneficiaries are designated at the plan level. You may maintain different beneficiaries if you have Traditional IRA and Roth IRA plans.

Yes. Your annual contribution can be divided between both types as long as you meet the eligibility requirements for each IRA type. You may not contribute more than the annual allowable maximum across all of your Traditional and Roth IRA accounts at all of your financial institutions.

For guidance on the best way to contribute, we encourage you to consult a financial advisor or tax professional at your expense. For general questions and information regarding IRA accounts, contact an IRA Specialist at 1-888-204-8966. We’re here to help.

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