A traditional IRA lets you postpone taxes

Want your money to grow tax-deferred while you put away money for your retirement? Think traditional IRA.

Ready to get started? Open an IRA today

Ready to get started? Open an IRA today

What is a traditional IRA?

A traditional IRA is a type of individual retirement account that lets your earnings grow tax-deferred.* You pay taxes on your investment gains only when you make withdrawals in retirement.

Compare Roth vs. traditional IRAs

Other traditional IRA advantages

Tax-deductible contributions

If you're not covered by a retirement plan at work, you can deduct the entire amount of your IRA contribution on your income tax return. For the 2023 tax year, this would be up to $6,500 annually, or $7,500 if you're 50 or older. And for the 2024 tax year, up to $7,000 annually, or $8,000 if you're 50 or older. 

No income limit

There's no maximum income limit. You can invest in a traditional IRA no matter how much money you earn.

Some things to think about

Age limit on contributions
As a result of changes made by the SECURE Act, you can make contributions to a traditional IRA for 2020 or later regardless of your age.

Mandatory RMDs
You must begin taking required minimum distributions (RMDs) from your account by April 1 of the calendar year following the year you reach age 73*.

Get answers to common RMD questions

Taxable withdrawals
Withdrawals may be subject to federal income tax.

Get details on IRA withdrawals

The sooner, the better

The younger you are when you open your IRA, the greater your saving potential because you get that tax-free compounding clock ticking longer for you.

Learn more about the power of compounding

The sooner, the better

The younger you are when you open your IRA, the greater your saving potential because you get that tax-free compounding clock ticking longer for you.

Learn more about the power of compounding

Explore professional advice

We offer expert help at the low cost you'd expect from Vanguard.

Ready to open an IRA?

New to Vanguard?


Already a Vanguard client? Log in and open an IRA.

Ready to open an IRA?

New to Vanguard?


Already a Vanguard client? Log in and open an IRA.

*Due to changes to federal law that took effect on January 1, 2023, the age at which you must begin taking RMDs differs depending on when you were born. If you reached age 72 on or before December 31, 2022, you were already required to take your RMD and must continue satisfying that requirement. However, if you had not yet reached age 72 by December 31, 2022, you must take your first RMD from your traditional IRA by April 1 of the year after you reached age 73.

All investing is subject to risk, including the possible loss of the money you invest. Be aware that fluctuations in the financial markets and other factors may cause declines in the value of your account.

Vanguard's advice services are provided by Vanguard Advisers, Inc. ("VAI"), a registered investment advisor, or by Vanguard National Trust Company ("VNTC"), a federally chartered, limited-purpose trust company.

The services provided to clients will vary based upon the service selected, including management, fees, eligibility, and access to an advisor. Find VAI's Form CRS and each program's advisory brochure here for an overview.

VAI and VNTC are subsidiaries of The Vanguard Group, Inc., and affiliates of Vanguard Marketing Corporation. Neither VAI, VNTC, nor its affiliates guarantee profits or protection from losses.