IRAs

Traditional and Roth IRAs that meet your needs and support your values.

How it Works

How It Works Diagram

Every dollar invested with CEP is assigned a mission—to empower ministry by funding church loans across the country. So while your retirement funds grow to benefit your family and future, they’re also used to enable Kingdom-growth. It’s a win for you and a win for ministry.

Additional information

Types of IRAs

Traditional IRA:

Your contributions may be tax-deductible when you fund your Traditional IRA, so you’re saving pre-taxed dollars. Instead, you will pay taxes on the distributions when you draw on your account at retirement. Once you’ve reached the age of 70 ½, you can no longer make contributions to a Traditional IRA, even if you are still working. All your IRA money benefits from compounding interest, so your account grows faster while also advancing ministries throughout America.

Roth IRA:

Your contributions are not tax-deductible with a Roth IRA, because you are contributing funds you have already paid taxes on. However, you won’t pay taxes on qualified distributions when you withdraw funds at retirement. In addition, you also won’t have the 70 ½ age restriction required by the Traditional IRA. So you can contribute to a Roth IRA whenever you like for as long as you are working.

Coverdell ESA:

CEP also offers tax-deferred investing for college expenses. Our Coverdell Education Savings Account (ESA) can be used for qualifying educational costs, while you invest to support ministry.

Traditional/SEP Roth Coverdell Education Savings Account (ESA)
Contribution Limit: Traditional: $5,500/year
SEP: See tax advisor
$5,500/year $2,000 per child/year
Annual Custodial Fee: $10 $10 $10
Eligibility:
  • Earned income from employment
  • Under 70 ½
  • Earned income from employment
  • No age limit
Tax Benefits:
  • Contributions may be tax-deductible
  • You may qualify for a tax credit
  • Money grows tax-deferred
  • Withdrawals are taxed
  • Contributions are after-tax
  • Contributions are not tax deductible
  • Money grows tax-deferred
  • Qualified withdrawals are not taxed
  • No tax deductions
  • Qualified withdrawals are tax-free
  • Money grows tax-deferred
Withdrawals:
  • Allowed at age 59 ½
  • RMDs begin at age 70 ½
  • Withdrawals are added to taxable income
  • Early withdrawals may incur taxes and tax penalties
  • Transfers and rollovers are not taxable events
  • Allowed at age 59 ½
  • IRA must be established for 5 years
  • No RMD
  • Withdrawals are not added to taxable income
  • Early withdrawals may incur a tax penalty
  • Transfers and rollovers are not taxable events
  • Allowed for qualified education expenses before age 30
  • Other withdrawals may incur tax penalties
  • Transfers and rollovers are not taxable events

Transfer/Rollover to CEP