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Traditional IRA

With a Traditional IRA, you make contributions with money you may be able to deduct on your tax return. Any earnings potentially grow tax-deferred until you withdraw them in retirement.

Tax advantages

Contributions

Tax-deductible contributions1
Earnings

Any earnings grow federal income tax-deferred.
Withdrawals

10% early withdrawal penalty may apply for other withdrawals taken prior to age 59½ if no exceptions apply.

Penalty-free withdrawals for first home purchase and certain college expenses

Minimum required distributions (MRDs) starting at age 70½

Account features

Eligibility2

Individuals less than 70½ years of age

Must have employment compensation
Maximum contribution

2013 and 2014: $5,500 ($6,500 if age 50 or older)
Investment options

Access to a wide range of investments offering growth or income including mutual funds, stocks, bonds, ETFs, and FDIC-insured CDs
Support and guidance

One-on-one guidance—in person, online, or over the phone

Research and tools to help you create a long-term plan and choose investments

Fees

Account opening and annual maintenance fees

None*

*There is no cost to open and no annual fee for Fidelity's Traditional, Roth, SEP, and Rollover IRAs. A $50 account close out fee may apply. Fund investments held in your account may be subject to management, low balance and short term trading fees, as described in the offering materials. For all securities, see the Fidelity commission schedule (PDF) for trading commission and transaction fee details.
Trading fees3

$7.95 for online U.S. equity trades

Next steps

Open a Fidelity Traditional IRA.

Fund your account. lock_green

Choose your investments.

IRA Checklist: Three steps to open your IRA  

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5508tridion
Rated 4.3 out of 5 by 356 reviewers.
Rated 5 out of 5 by Financial Empowerment Fidelity's website has all the research there for you so you can feel confident making an informed decision. I spoke to an investment professional who guided me when I wanted to diversify. When I traded/sold it was easy to connect to my bank account, no cost and efficient. January 29, 2014
Rated 5 out of 5 by Mr Great support staff, and one of the best web sites made this my number one investment choice. Fidelity meets all expectations with answering questions , follow up and support from staff. This is my first try of an on line investment company, and fidelity has been a positive example of doing things right. Many on line services are hard to get any personal service when things go wrong, but Fidelity Investments is fantastic. Would recommend to all my friends and family. January 29, 2014
Rated 5 out of 5 by Excellent Customer Service, Low Cost I moved all my accounts to Fidelity when my employer chose Fidelity for their 401k. I have used the low-cost index funds and ETFs. Whenever I have a question the customer service reps are extremely helpful and knowledgeable. June 28, 2013
Rated 5 out of 5 by My IRA at fidelity I love my Fidelity IRA. I can access it easily, it is secure and I can see how my investments are doing over time and day to day. I have been very happy with the service provided by Fidelity, the cost of the account, the price of trades and the depth of information available to research positions. The research information is probably the strongest asset of the account. I do not need to buy a position in order to research its performance. The trades are done quickly, I can access information any time I like, and I can call an account representative if I have a question. Their service over the years has been outstanding. I have had absolutely no complaints about Fidelity. June 26, 2013
Rated 5 out of 5 by Great online research resources Super representatives and great online research resources. Customer service is always ready to help and very accommodating. All assets have been transferred to Fidelity because they exceed in all areas. Left a broker offering free trades for the convenience, research and customer service I get from of Fidelity. June 26, 2013
Rated 5 out of 5 by Fidelity Traditional IRA I have been a Fidelity customer for about 20 years. I have rolled over all my 401K money from my prior employers into a Fidelity Traditional IRA. You have excellent asset allocation tools, thousands of no load mutual funds and even a very good selection of no transaction fee ETF's to choose from. For someone like me who chooses to manage my own investments, I think Fidelity is hard to beat. February 22, 2013
Rated 4 out of 5 by Investing made Easy I find using Fidelity's Traditional IRA an easy way to invest for the future. The investment tools, online ease of access, and flexibility make it a great product. January 25, 2013
Rated 5 out of 5 by Assistance is always available The key differentiating factor with my Fidelity IRA is the easily accessible assistance. Fidelity’s staff is just a phone call away. Everyone I have ever worked with listens carefully to my questions and concerns and does not let me hang up, or leave their office, without a plan and/or solution in place. January 24, 2013
Rated 5 out of 5 by Simple, Convenient, Easy to Use I've used Fidelity Investments for a number of years, and their site is extremely convenient, feature packed, and secure. They have a wide variety of four and five star funds to choose from (that are traded without fees), and their commissions on equities are low. I'm very satisfied and have migrated much of our family and corporate investing to Fidelity Investments. January 23, 2013
Rated 5 out of 5 by Easy to understand I've been investing with Fidelity for over 25 years. The choices are great and the information available to make my investment decisions is excellent--no surprises! The customer service I have received is always beyond expectations. They make everything happen easily. I especially like the statements, and all the other financial reporting and analysis available online. March 3, 2012
Rated 1 out of 5 by LEANER AND MEANER? I had a big account with the Co. which I closed before the big downturn! Now I just opened and IRA, carefully read the relevant research and prospectus for what I wanted to do, confirmed I could on archived chat and double-checked on an archived phone call.I transferred in my money, and called a trader to buy-- and got a whole different approach to saying "no". So, I closed the account, and gee, I do know where I will go next--with my money! March 11, 2014
Rated 5 out of 5 by Fidelity IRA I have been very satisfied with my IAR A/C w/ Fidelity and with Fidelity in general February 7, 2014
Rated 5 out of 5 by Tools - Service - Security Good tools, excellent and responsive service, and confidence in account security February 3, 2014
Rated 4 out of 5 by Easy to use The Brokerage IRA is much better than the 403-B accounts. It is more flexible in asset allocation and no fees. I wish all of my retirement accounts were like this one. I can trade equities, bonds, and mutual funds all in one account. February 2, 2014
Rated 5 out of 5 by Conservative We (husband, Jill) have been clients for many years and during this tenure have always rated Fidelity a 10+. Your representatives are "always glad we called," and 100 % of the time give us the answers we need. Recently we wanted to merge our two accounts and you sent the paper work, sent it back when one item was not complete and then we were notified when the event was in work. Thank You! February 2, 2014
Rated 4 out of 5 by Small investors the last time I called to get some advice on my IRA account and where to invest it....the advisor I spoke with insisted upon knowing my "overall" worth or investable worth. This to me was code for, "is it going to be worth my time?" This was very obvious to me, even though he would argue that he was just trying to get a handle on my investible income. Doesn't matter, I really felt like I was being given less attention because I no longer have large amounts in my IRA. January 31, 2014
Rated 5 out of 5 by ATP 10.0 Fidelity removed one of the most important columns in the watch list ... the entry column. Now the only way to sort the watch list is to log out completely, and then log back in. Please consider adding an Entry line item to sort on. Thank you. January 31, 2014
Rated 5 out of 5 by Traditional IRA I like Fidelity and rate it very high. I particularly think the website is good. My ONLY complaint about Fidelity is I think their fee for buying certain mutual funds is too high. January 30, 2014
Rated 4 out of 5 by IRA Review I don't have any complaints with my IRA service except the fact that I have never been able to determine what I'm paying for the service. January 30, 2014
Rated 4 out of 5 by Helpful The traditional IRA is helpful because I received this money from my divorce and it's helped me build my retirement. January 30, 2014
Rated 5 out of 5 by Traditional IRA Review The Fidelity IRA is easy to access and informative. It also allows online trading and record keeping for tax purposes. January 30, 2014
Rated 4 out of 5 by secure customer service has always been helpful have gone above and beyond in finding solutions to my concerns January 30, 2014
Rated 3 out of 5 by RETIRED ACCESS EASY. INFORMATION HELPFUL THAT IS PUBLISHED. WOULD APPRECIATE A CLOSE OFFICE FOR FACE TO FACE DISCUSSION. January 30, 2014
Rated 5 out of 5 by retirement I have always been impressed with Fidelity's customer service. I have always received correct and courteous answers, however, I have to say I have not figured out how to use Active Traderpro yet. January 29, 2014
Rated 4 out of 5 by Convenient and affordable Site is rarely down and seems accurate . I appreciate the reasonable commission . January 29, 2014
Rated 5 out of 5 by Dependable and secure I have had an account with Fidelity for many years. I have always had excellent service from them. One of the things I'm really happy with is the security that I have in dealing with them. One thing I don't want is to find out that some of my account information has been stolen. I have complete confidence that Fidelity will continue to keep up with the latest security features. January 29, 2014
Rated 5 out of 5 by Reliable and feature rich I like that commissions are reasonable and mailed statements are good. I like the option to re-invest dividends for no cost. I like that I can expand a particular holding and see when all shares were bought. Also that I can see the cost basis. I don't know of any thing else needed. Keep up the good work. January 29, 2014
Rated 5 out of 5 by Customer Service Customer service reps are knowledgeable and very competent. January 29, 2014
Rated 5 out of 5 by efficient and inexpensive I like the ability to invest in what I want, when I want it and for as little or long time as I want. January 29, 2014
Rated 5 out of 5 by Good, reliable information and statements The online database is very good. The information I seek for on the site is easily accessible, well presented and with helpful details. Also, when I contact an IRA rep I get quick and helpful guidance and answers to my questions. Keep up the good work.!!!! January 29, 2014
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Questions?

From our experts

More information

ETFs are subject to market fluctuation and the risks of their underlying investments. ETFs are subject to management fees and other expenses. Unlike mutual funds, ETF shares are bought and sold at market price, which may be higher or lower than their NAV, and are not individually redeemed from the fund.

1. For a Traditional IRA, full deductibility of a contribution for 2013 is available to active participants whose 2013 Modified Adjusted Gross Income (MAGI) is $95,000 or less (joint) and $59,000 or less (single); partial deductibility for MAGI up to $115,000 (joint) and $69,000 (single). In addition, full deductibility of a contribution is available for working or nonworking spouses who are not covered by an employer-sponsored plan whose MAGI is less than $178,000 for 2013; partial deductibility for MAGI up to $188,000. For 2014 full deductibility of a contribution is available to active participants whose 2014 Modified Adjusted Gross Income (MAGI) is $96,000 or less (joint) and $60,000 or less (single); partial deductibility for MAGI up to $116,000 (joint) and $70,000 (single). In addition, full deductibility of a contribution is available for working or nonworking spouses who are not covered by an employer-sponsored plan whose MAGI is less than $181,000 for 2014; partial deductibility for MAGI up to $191,000
2. You must be at least 18 to open an IRA at Fidelity.
3. $7.95 commission applies to online U.S. equity trades in a Fidelity account with a minimum opening balance of $2,500 for Fidelity Brokerage Services LLC retail clients. Sell orders are subject to an activity assessment fee (of between $0.01 to $0.03 per $1000 of principal). Other conditions may apply. See Fidelity.com/commissions for details.
The initial customer ratings and reviews for this product (those dated before 3/16/2012) were provided to Fidelity through an email solicitation for feedback on the product. All ratings and reviews are provided to Fidelity on a voluntary basis and are screened in accordance with the guidelines set forth in our Customer Ratings and Reviews Terms of Use. For additional information on which ratings and reviews may be posted, please refer to our Customer Ratings and Reviews Terms of Use. Featured reviews have been selected based on subjective criteria and reviewed by Fidelity Investments. The average rating is determined by calculating the mathematical average of all ratings that are approved for posting per the Customer Ratings and Reviews Terms of use and does not include any ratings that did not meet the guidelines and were therefore not posted. Ratings and reviews are added continuously to the website (after a delay for screening against guidelines) and average ratings are updated dynamically as reviews are added or removed.
The ratings and experiences of customers may not be representative of the experiences of all customers or investors and is not indicative of future success. The accuracy of information included in the customer ratings and reviews cannot be guaranteed by Fidelity Investments. Customers who post ratings may be responsible for disclosing whether they have a financial interest or conflict in submitting a rating and review.
Please contact a Fidelity representative if you have additional questions or concerns about the ratings and reviews posted here.
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