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• individual retirement account
  individual retirement account

  noun

  a savings plan that offers tax advantages to an individual depositor to set aside money for retirement. IRA
• Individual Retirement Account
  Individual Retirement Account

  A retirement plan. The “traditional” IRA allows individuals to contribute pretax earnings up to a maximum yearly allowance and to defer income taxes until the money is withdrawn after retirement. The “Roth” IRA allows individuals to contribute aftertax earnings and pay no taxes on future withdrawals. In contrast to a 401(k) plan, an IRA is funded entirely by the individual tax payer.

individual retirement account

American  

noun

1. a savings plan that offers tax advantages to an individual depositor to set aside money for retirement. IRA

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Individual Retirement Account Cultural  

1. A retirement plan. The “traditional” IRA allows individuals to contribute pretax earnings up to a maximum yearly allowance and to defer income taxes until the money is withdrawn after retirement. The “Roth” IRA allows individuals to contribute aftertax earnings and pay no taxes on future withdrawals. In contrast to a 401(k) plan, an IRA is funded entirely by the individual tax payer.

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Example Sentences

I used Microsoft Copilot to create a spreadsheet to estimate the tax cost of making transfers out of my individual retirement account to my Roth IRA.

From The Wall Street Journal • Mar. 8, 2026

If you have an individual retirement account, your contribution limit for 2026 is $7,500, with an additional $1,100 catch-up contribution allowed if you are 50 or older.

From MarketWatch • Dec. 26, 2025

Vanguard researchers found that 6.7% of the firm’s individual retirement account holders age 73 and up had missed taking their RMDs in 2024.

From Barron's • Dec. 24, 2025

Ms. Phipps, 72, said that her annual income consisted of money withdrawn from an individual retirement account, about $50,000 from Social Security and $20,000 from a pension.

From New York Times • Dec. 16, 2023

A Roth IRA, or individual retirement account, is another option for older grandchildren who earn money, Lindquist says.

From Seattle Times • Dec. 4, 2023