Personal IRAs



Consumers and small business owners are fortunate to have a variety of retirement savings opportunities available to them — from IRAs to SEPs — that can be used to save for retirement and save on some taxes. Peoples Savings Bank is here to help you.

Rhineland: P: 573-236-4414
Hermann: P: 573-486-1444
New Florence: P: 573-835-4414
Montgomery City: P: 573-564-3444
New Haven: P: 573-237-3322
New Melle: P: 636-398-5600
WingHaven: P: 636-561-5500
  • Traditional IRAs
  • Roth IRAs
  • Education Savings Account
  • Distributions
  • Health Savings Account
  • IRA/HSA Transfers and Rollovers

Today’s economy can often be overwhelming. What will you supplement your income with when you retire? Everyone needs to think of the future and the importance of saving for your retirement. We offer a range of IRA’s to meet your individual needs.

Our new account representatives are friendly, knowledgeable, and ready to help in any way we can. Peoples Savings Bank encourages you to consult your tax professional, accountant or attorney before proceeding with setting up an IRA.

Let us be the people you know and trust. For more information contact a new account representative at any of our locations.

Traditional IRA’s

The traditional IRA first became available in 1975 to encourage people to save for their retirement and to provide for beneficiaries upon death. Higher contribution limits and greater flexibility were added with the implementation of the Economic Growth and Tax Relief Reconciliation Act (EGTRRA) of 2001. If deferring taxes on part of your income is your tax strategy, a Traditional IRA may be right for you. Traditional IRA’s earn interest.

  • Fixed rate
  • Contributions may be tax deductible (Consult your tax advisors)
  • Taxes on earnings or pre-taxed dollars are deferred until distribution
  • Distributions may be taken without penalties at age 59 ½

Roth IRA’s

The Roth IRA was first made available on January 1, 1998. Contributions are made with after-tax dollars and earnings are free from taxes and IRA penalties if certain conditions are met. If your income level is too high for a Traditional IRA, a Roth IRA may be just the thing for you.


  • Fixed rate
  • Contributions are not tax deductible
  • Tax-exempt if you’re over 59 ½
  • Withdraw funds used to purchase a first home are tax-exempt if you’re under 59 ½. Please refer to the IRS Website for a additional details.

Education Savings Accounts

In July 2001, President Bush signed legislation that formally renamed the Education IRA to the Coverdell Education Savings Accounts (CESA). This is named after the late Senator Paul Coverdell, who championed the creation of the Education IRA.

The CESA is a tax-favored savings tool created to assist in saving for an individual’s education expenses. Distributions for qualified education expenses are not subject to federal income tax or a 10 percent penalty tax.

Coverdell Education Savings Accounts (CESA) save money
  • Tax-exempt interest for your child’s education
  • Make yearly non-deductible contributions up to $2,000
  • Qualified distributions and earnings are tax exempt


When you withdraw money from a retirement account, it is called a distribution. Distributions from a Traditional IRA are reported to the IRS as income and as such, may be subject to income tax. There may also be IRS imposed penalties except under special circumstances such as death, first time home purchase, disability, education and reaching age 59 ½.

Distributions from a Roth IRA have more complex tax implications. You should speak with your tax advisor, accountant or attorney before proceeding with this type of transaction.

Required Minimum Distributions (RMD)

The IRS requires that, beginning in the year you become 70 ½ years of age, you begin taking a “Required Minimum Distribution” from your Traditional IRA each year. This amount will vary based upon governmental tables. Our new account representatives will be happy to assist in calculating your RMD if requested.

Health Savings Accounts

Peoples Savings Bank now offers Health Savings Accounts. These accounts work in conjunction with high deductible insurance coverage to provide a means to offset out of pocket expenses with tax free dollars.

  • Easy access to your funds via your HSA Debit Card
  • No monthly or yearly service fees
  • No activity charges
  • Monthly statement

IRA/HSA Transfers - Rollovers

It’s easy to move your IRA or HSA to Peoples Savings Bank. Whether a Roth, Traditional IRA, or an HSA you can move existing IRA money as follows:

  • Transfers – you can come into any one of our facilities, establish an IRA account with us, and complete a transfer form. This form is then sent to the institution that currently holds your funds. After receipt, the funds are sent directly to us for deposit into your account. The IRS places no limits on transfers and no part of this transaction is reported to the IRS.
  • Rollovers – To complete a rollover, you take the funds from one institution and deposit into another institution. A rollover may be done once per year and the deposit must be completed within 60 days of distribution from the first institution. A rollover is also used when moving funds from a qualified pension plan to a Traditional IRA.