What is a traditional IRA?
A traditional IRA can be a great way to save for retirement since potential earnings grow tax deferred, and your contributions may be tax deductible.1
Step 1: Confirm this IRA is right for you
Tax benefits
If you're within the IRS income limits, you may be able to deduct all or part of your contributions from your federal taxes.1
Access to your money
You can take penalty-free withdrawals for certain expenses, such as a first home purchase, birth, adoption, or college expenses.2
Flexibility
As long as you are still working, you never have to stop contributing to a traditional IRA, and you can contribute to an IRA in addition to your 401(k).1
Not sure which IRA is right for you?
Check out our Roth vs. traditional IRA comparison.
Step 2: Decide if you want to manage the investments in your IRA, or have us do it for you
Fidelity traditional IRA
Investment management
You are responsible for choosing and managing your investments
Planning & guidance
Access to robust planning tools, and support from a Fidelity representative as needed3
Minimums
No minimum to open an account4
Fees
No account4 or advisory fees with this type of retail account
Depending on which investments you choose, there may be underlying fees
Support
Thought leadership, research, 24/7 customer service
Fidelity Go® traditional IRA
Investment management
We choose and manage your investments using your goals and risk tolerance in this digital account
Planning & guidance
Access to digital planning tools and unlimited 1-on-1 coaching calls with a dedicated team of Fidelity advisors once your account balance reaches $25,0003
Minimums
No minimum to open an account5
Advisory fees5
$0 for under $25,000 and 0.35%/yr for $25,000 and above
Invests in Fidelity mutual funds that do not charge management fees or, with limited exceptions, fund expenses
Support
Thought leadership, research, 24/7 customer service
Looking for a more hands-on managed approach?
You might want to consider Fidelity® Wealth Services for your planning and investment management needs. Minimum investment is $50,000 for access to a team of advisors or $250,000 for a dedicated advisor.
Don't forget these important steps once your account is set up
For a Fidelity traditional IRA: Make your first contribution.Log In Required Once your money is in your IRA, you should get it invested. This is a very important step—investing is how your money has the potential to grow over time.
For a Fidelity Go® traditional IRA Make your first contribution.Log In Required You don't need to choose or manage your investments—we do that for you based on the information you gave us.
Once your Fidelity Go® traditional IRA reaches $25,000 consider setting up a coaching appointment to review your full financial picture. That's why we're here!
FAQs
Additional resources
7 things you may not know about IRAs
Make sure you aren't overlooking some strategies and potential tax benefits. Learn more
Traditional or Roth IRA, or both?
Traditional IRAs and Roth IRAs offer different benefits- but having both can make sense. Learn more
Tax rates can help you choose between IRAs
Traditional or Roth account? 2 tips to help you choose. Learn more