What are IRAs?
In 1974, the Employee Retirement Income Security Act (ERISA) created Individual Retirement Accounts, or IRAs. Congress initially designed IRAs to have two roles: (1) to give individuals not covered by retirement plans at work a tax-advantaged savings plan, and (2) to play a complementary role to the employer-sponsored retirement system by preserving rollover assets at job change or retirement. Over the past 30 years, this flexibility has helped millions of U.S. households save for retirement through IRAs.
In 1974, the Employee Retirement Income Security Act (ERISA) created individual retirement accounts (IRAs). Congress initially designed IRAs to have two roles: (1) to give individuals not covered by retirement plans at work a tax-advantaged savings plan, and (2) to play a complementary role to the employer-sponsored retirement system by preserving rollover assets at job change or retirement. Over the past 35 years, this flexibility has helped millions of U.S. households save for retirement through IRAs.
