What is an individual retirement account (IRA)?

An IRA is a savings vehicle that will help you work towards your retirement goals.

Why should I open an IRA?

An IRA will allow you to save money while benefiting from tax incentives permitted by law.

What types of IRAs are there?

Traditional IRA:

1. Your savings can grow tax-exempt

2. Your contribution is deducted from your income reported on the tax return, to the extent permitted by law.

Roth IRA:

1. Your savings can grow tax-exempt.

2. The contribution is made on an after-tax basis (i.e. no deduction is allowed).

What are the penalties for withdrawing my IRA account?

Unlike other IRAs, the only penalties incurred by the X-Square Balanced IRA upon withdrawal are those imposed by the Treasury Department (Hacienda). No penalties apply upon withdrawal after you turn 60. Nonetheless, you are subject to a 10% penalty of the amount withdrawn should you withdraw from your account prior to turning 60. Exceptions may apply. Please visit Hacienda’s website  for more details (www.hacienda.pr.gov).

Can I rollover my existing IRA?

Yes, you can rollover your existing IRA to the X-Square Balanced IRA by filling out and submitting the form. X-Square does not impose any fees and/or commissions. If you have an authorized representative he or she may charge fees and/or commissions for the rollover.

Is this IRA right for me?

If you generate income and are looking to invest your savings and take advantage of the tax incentives provided by the Treasury Department (Hacienda), then the X-Square Balanced IRA might be the right investment vehicle to meet your long-term financial goals.