Whether you're interested in opening a Traditional or Roth IRA, we're here to help you reach your financial goals for retirement! Keep scrolling to learn which IRA best fits you!
Share Certificates
- Greater rates than savings accounts
- Fixed rates guaranteed for length of term
- Wide range of terms available
- Penalty on earning for early withdrawal
- Safeguard future funds with partial withdrawal or closure fees prior to maturity
- Dividends posted monthly
- $500 minimum deposit to open regular certificates
- Jumbo certificates available ($10,000 minimum deposit to open)
- Retains federal insurance up to $250,000
- Check out our current rates to learn more!
Regular & Jumbo IRA
- Potential tax advantages and tax-free earnings
- High-dividend Regular IRA— opening deposit of $1,000-$9,999.99
- Even higher-dividend Jumbo IRA —opening deposit of $10,000+
- NCUA insured up to $250,000
- Rate and term specials available
- Dividends will be capitalized
- Contributions may be made through payroll deduction or deposit
- Distributions for RMD (72 years old) may be distributed by check, withdrawal, or automatic transfer to another Pelican State CU account
- Dividends posted quarterly
- Dividend rate is fixed for duration of IRA Certificate
Check out these IRA rates!
| Term | Dividend Rate | APY3 |
|---|---|---|
| 24 Months | 3.75% | 3.82% |
| 36 Months | 3.75% | 3.82% |
| 48 Months | 3.30% | 3.35% |
| 60 Months | 3.10% | 3.14% |
| Account | Dividend Rate | APY |
|---|---|---|
| IRA Share | 2.00 % | 2.02 % |
Minimum opening balance $1,000.00. There could be a penalty imposed for early withdrawal. Rates are fixed for the term of the IRA, but may change after that.
Annual Percentage Yield (APY) is accurate as of today and is subject to change at any time, without advance notice. Certificates are established on the day applications are received and funded. Once established, the current rate in effect is locked-in for the term of the certificate. Funds may be wired in order to receive and lock-in a rate once the account has been established. Deposits sent by mail will be subject to the date the certificate is funded, not the day it was opened. Withdrawal of dividends will reduce earnings. Early withdrawal penalties apply. Requests for early withdrawals must be provided in writing.
IRA Calculators
Trying to calculate how much money you'll have when you retire? Use one of our IRA calculators to see your future balance!
Traditional IRA vs. Roth IRA
Frequently Asked Questions
How is the interest rate calculated on a Share Certificate?
The APY is a percentage rate that reflects the total amount of dividends that will be paid on the certificate based on the dividend rate and frequency of compounding for an annual period. The dividend rate and APY are fixed and will be in effect for the initial term of the certificate. The APY is based on an assumption that dividends will remain on deposit until maturity.
What options do you have for dividend payment?
When setting up a Share Certificate, members may choose to have their monthly dividends:
- Mailed
- Transferred internally to another share
- Remain in the Share Certificate to continue compounding
Are you taxed on the dividends earned on a Share Certificate?
Yes. The IRS treats interest earned on Share Certificates as income, whether the money is received in cash or reinvested. The same treatment applies to interest credited to a Share Certificate that allows the funds to be withdrawn early without penalty.
The interest is taxable in the year it is paid. If you have earned more than $10 in interest in a year, Pelican will mail you a 1099-INT statement.
Does opening a Share Certificate reduce your taxable income?
No. If you're looking to reduce your taxable income you may be interested in an IRA.
- Traditional IRAs: Any deductible contributions and earnings you withdraw, or that are distributed from your traditional IRA, are taxable. Also, if you are under age 59 ½, you may have to pay an additional 10% tax for early withdrawals unless you qualify for an exception.
- Roth IRAs: These are not tax deductible if it’s a qualified distribution (or a withdrawal that is a qualified distribution). Otherwise, part of the distribution or withdrawal may be taxable. If you are under age 59 ½, you may also have to pay an additional 10% tax for early withdrawals unless you qualify for an exception.
What happens to a Share Certificate at the end of the term?
The renewal policy for Share Certificates is stated in the Rate Schedule. For Share Certificates that automatically renew for another term, you have a grace period of ten (10) days after maturity to withdraw funds in the account without being charged an early withdrawal penalty.
How do I use the Share Certificate Calculator?
Dividends on our Share Certificates currently compound monthly AND they are posted to the account after the end of each month. You can see your dividends add up in MyPelican.
The interest earned on Share Certificates is added to the Share Certificate balance at regular intervals. This is called "compounding." This calculator allows you to choose the frequency that the Share Certificates' interest income is compounded. The more frequently this occurs, the sooner the accumulated interest income will generate additional interest.
Please note that the calculator on this page is for informational purposes only.
If I open an IRA Share Certificate and have a required monthly distribution, would I get charged a penalty for taking it out of the certificate?
No. If it's a required monthly distribution on an IRA Share Certificate, then we do not charge for early withdrawal.
What are the penalties for early withdrawal?
For all terms and all share certificates, the early withdrawal penalty will be 40 percent (40%) of the total dividends that would have been earned over the term of the account. This includes IRA certificates.
Can I add a beneficiary other than my spouse to my IRA?
If you are married and your spouse is not named as your sole primary beneficiary, spousal consent is required in the following states of residence where the IRA is opened, which are community property states:
- Alaska
- Arizona
- California
- Idaho
- Louisiana
- Nevada
- New Mexico
- Texas
- Washington
Wisconsin's property act is also based on key community property principles. Regardless of your state of residence, we recommend getting spousal consent if your spouse is not your sole primary beneficiary.
Check out our rates!
1Subject to some minimal conditions.
2Certain exceptions apply, such as healthcare, purchasing first home, etc.
3APY = Annual Percentage Yield is accurate as of today and is subject to change at any time, without advance notice. Minimum opening balance $500.00. Rates are fixed for the term of the certificate, but may change after that. Certificates are established on the day the account is opened and funded. Once established, the current rate in effect is locked in for the term of the certificate. Funds may be wired in order to receive and lock in a rate once the account has been established. Deposits sent by mail will be subject to the date the certificate is funded, not the day it was opened. Withdrawal of dividends will reduce earnings. Early withdrawal penalties apply. Requests for early withdrawals must be provided in writing.