In addition to the standard features and tax advantages, Principal Bank® traditional and Roth IRAs come with the added security of FDIC insurance up to $250,000 per depositor.
Traditional IRA earnings grow tax-deferred until withdrawal, and certain contributions may be tax-deductible. You'll be taxed on the pre-tax savings when you withdraw it in retirement. To contribute to a traditional IRA, you or your spouse must earn income in the year the contribution is made. The annual contribution limit is $6,500 ($7,500 if you’re age 50 or more).2
Roth IRAs offer tax-free withdrawals after a five-year holding period, with the same contribution limits as a traditional IRA. Your modified adjusted gross income (MAGI) can’t exceed certain limits in the year the contribution is made.
Principal Bank offers two investing options for your IRA savings:
Qualified certificates of deposit (CDs) give you stable, long-term savings.3
- Minimum deposit of $1,000
- Terms available from 12-60 months
Money market IRAs give you higher yields on higher balances.
- Minimum deposit of $1,000
- Additional contributions allowed
- Tiered interest rates compounded and credited quarterly
- Checks available for customers over age 59½ (traditional IRAs only)
- Six withdrawals allowed per month
Interest rates
See current Principal Bank IRA interest rates.
Opening a Principal IRA is easy. Select the option that works best for you:
- Open your IRA in just a few steps and choose from a set of investment options. Want to handle things online?
- 800-247-8000, ext. 2251, to speak with a financial professional. Looking for more investment options, or some extra help? Call us at
Let us connect you with one in your area.
Find a financial professional1 Principal Bank® FDIC-insured IRAs:
- Annual fee: $15 charged on the anniversary date of account opening after start of first year. Fee waived for balances $10,000 and above.
- Closing fee: $30. Waived if funds transfer to a Principal Bank or Principal Financial Group® (Principal®) product.
- Funds held in a Principal Bank® IRA are FDIC-insured up to $250,000 per depositor.
2 As indexed by the IRS, 10/21/2022 - IRS.gov
3 A substantial penalty may be imposed for early withdrawal.
Bank products and services are provided through Principal Bank®, Member FDIC. Insurance products and plan administrative services provided through Principal Life Insurance Company®. Securities offered through Principal Securities, Inc., 800-547-7754, Member SIPC and/or independent broker-dealers. Annuities, insurance, retirement plans, mutual funds and other securities are not insured by the FDIC, are not obligations or deposits for Principal Bank® nor guaranteed by Principal Bank, and involve risk, including possible loss of the principal invested.