Retirement Accounts

Retirement accounts offer different ways you can invest with tax-deferred benefits. An IRA can be entitled as a cash or limited (non-leveraged) margin account. Limited margin is required for trading option spreads or cash-secured puts in an IRA.

Traditional IRA

A traditional IRA is a tax-deferred retirement account. You pay taxes on your money only when you make withdrawals in retirement.

Roth IRA

A Roth IRA allows your money to grow tax-free. Roth accounts are funded with after-tax dollars, meaning you've already paid taxes on the money you put into it. In return for no up-front tax break, your money grows and grows tax free. When you withdraw at retirement, you pay no taxes.

Rollover IRA

A Rollover IRA is an account that allows you to move funds from your old employer-sponsored retirement plan into an IRA. With an IRA rollover, you can preserve the tax-deferred status of your retirement assets without paying taxes or early withdrawal penalties at the time of transfer.

SEP IRA (Simplified Employee Pension)

SEP IRAs are used by business owners to provide retirement benefits for themselves and their employees.

Simple IRA (Savings Incentive Match Plan for Employees)

A SIMPLE IRA is a type of tax-deferred employer-provided retirement plan that allows employees to set aside money and invest it to grow for retirement.

Beneficiary IRA

Also known an as "Inherited IRA", this type of account is opened when an individual opens an IRA or an employer-sponsored retirement plan after the original owner dies. Additional contributions are not allowed, and specific tax laws apply regarding distributions.

Coverdell IRA

A tax-advantaged investment account to help cover education expenses, including tuition, books and related expenses. Distributions are limited to same-year expenses only.

Joint Accounts

MoneyBlock offers four joint account types. Review the descriptions below to find the type suited for your needs. Each joint account type can be set up as a cash or margin account and be entitled to trade options.

Joint Tenants with Rights of Survivorship (JTWROS)

A JTWROS account has two or more account owners, with each person having an undivided interest in the entire property.

Tenants in Common

A Tenants in Common account has two or more account owners with each person owning a specified percentage of the entire property.

Community Property

A Community Property account is owned by two married people who acquired property during the marriage (with exceptions). Community Property is based on the theory that each spouse has equal interest in the property acquired by the efforts of either of them during the marriage. Non-resident aliens are not eligible for this type of account.

Tenants by the Entirety

A Tenants by the Entirety account is owned by two married people. Non-resident aliens are not eligible for this type of account.

Custodial Accounts

Custodial accounts are created by a custodian (typically a parent or relative) for the benefit of a minor.

Custodial Uniform Gift to Minors Act (UGMA)

An UGMA account allows assets such as securities, in which the donor has given up all possession and control, to be held in the custodian's name for the benefit of the minor without an attorney needing to set up a special trust fund.

Specialty & Entity Accounts

MoneyBlock offers personal and business trust accounts as well as various corporate accounts (for LLCs, C- and S-corps, partnerships). Please note each account type has different document requirements and proof of beneficial owners. Each account type can be set up as a cash or margin account and be entitled to trade options.

Trust (personal or business)

A Trust account allows a third party (trustee) to hold assets on behalf of one or more beneficiaries. Assets transfer according to the terms of the trust, and generally to avoid probate. A copy of the trust agreement is required to open the account.

Limited Partnership

A Limited Partnership (LP) account is established by two or more individuals who carry on a business for profit. At least one partner bears unlimited liability, and additional partners are liable only to the extent of their investment.

Partnership

A Partnership account is established by an association of two or more persons who have an established partnership agreement to carry on, as co-owners, a business for profit. The accounts are not subject to taxation. Instead, the taxes flow through to the individual partners and are reported on their personal income tax returns.

Limited Liability Company

A Limited Liability account offers some of the most popular benefits of partnership and corporate accounts. It offers the pass through tax status of the partnerships, and the limited personal liability of corporations. The liability of the company and its owners is limited to their investment.

Sole Proprietorship

A Sole Proprietorship account is available for a business which is unincorporated and has only one owner. Either a business tax ID or your personal tax ID can be used for applying for this account type. The entity account holder must be the owner of the business.

Corporate (profit or non-profit)

A corporate form of registration is available for an entity that has been incorporated pursuant to state law. The entity account manager must be a corporate officer or designated employee and must certify that he or she has the authority to act alone on behalf of the corporation with regard to this account.