Savings, CDs, & Retirement Plans
STATEMENT SAVINGS ACCOUNTS
Interest is earned daily on all accounts
Interest is credited and compounded quarterly at the prevailing rate
Maintaining a minimum balance of $100.00 avoids a $2.00 monthly service charge
Fees could reduce earnings
All account history and balances are detailed on your monthly statement
Statement can be combined with your Checking Account Statement
HNB eStatements and Notices Available
Accrued interest to date is not paid on accounts closed prior to quarter end
HOLIDAY, VACATION OR ALL PURPOSE CLUBS
Make systematic deposits to your club account by Automatic Funds Transfer from another HNB deposit account or use a coupon book designed especially for you. Interest is earned at the prevailing club rate (higher rates are paid on AFT deposit clubs). Fees could reduce earnings.
Holiday Club checks are issued in early October
Other club checks are issued upon your request Fees are assessed for early withdrawals or premature closing of the club account.
Invest in a CD for any term from 30 days to 5 years. Rates are determined according to the length of the investment. $1,000 minimum investment amounts. Annual percentage yields must be quoted when giving rates. Early withdrawal penalties apply. Fees could reduce earnings.
HNB Flex CD – Flex your financial muscle and invest in a Flex CD. This is a Certificate of Deposit that allows deposits, one rate adjustment and one penalty free withdrawal during the term. Fees could reduce earnings.
Save for your retirement or assist your employees with their retirement planning with a Regular, Roth or Self-Directed Individual Retirement Account (IRA), Simple IRA, Simplified Employee Pension (SEP) or 401K. Fees could reduce earnings.
Individual Retirement Accounts (IRA) –
An IRA is the perfect way to provide for financial security in your retirement years. Your IRA contributions grow tax deferred for the future and may save you tax dollars now. Rates are determined by the term of the investment. Open your IRA for as little as $50.00 and we will help you establish a systematic deposit plan. Let us assist you with transferring the proceeds from an existing qualified pension or IRA plan to HNB (Rollover). Roth and Self-Directed plans are also available. Fees could reduce earnings.
Please contact a Customer Service Representative regarding annual percentage yields and early withdrawal penalties. Consult your accountant regarding tax deduction eligibility. IRA’s are insured by the FDIC separately from other accounts you may have at HNB.
Simple IRA –
An excellent opportunity for small businesses to reward and retain employees. A Simple IRA is an employer-provided retirement Individual Retirement Account (IRA) plan. It is an employer sponsored plan, like more well-known plans such as the 401(k) (profit-sharing plans) and 403(b) (Tax Sheltered Annuity plans), but offers simpler and less costly administration rules. Like a 401(k) plan, the SIMPLE IRA is funded by a pretax salary reduction. Like other salary reduction contributions, these deductions are subject to social security, medicare, and FUTA. Contribution limits for SIMPLE plans are lower than for most other types of employer-provided retirement plans. Fees could reduce earnings.
A Simplified Employee Pension Individual Retirement Account (SEP IRA) is a variation of an IRA. SEP IRAs are adopted by business owners to provide retirement benefits for the business owners and their employees. There are no significant administration costs for the self-employed person with no employees. If the self-employed person does have employees, all employees must receive the same benefits under an SEP plan. Since SEP accounts are treated as IRAs, funds can be invested the same way as any other IRA. Fees could reduce earnings.
If your employer provides for retirement with a SEP, you have the choice of where and how the contribution is invested. If the SEP is at another institution, you can instruct that the contributions be made to your IRA account at HNB.
A plan selected by larger companies that provides employer matching funds for employee contributions. A 401(k) plan allows a worker to save for retirement and have the savings invested while deferring income taxes on the saved money and earnings until withdrawal. The employee elects to have a portion of his or her wages paid directly, or “deferred,” into his or her 401(k) account. In participant-directed plans (the most common option), the employee can select from a number of investment options, usually an assortment of funds. Some companies’ 401(k) plans also offer the option to purchase the company’s stock. The employee can generally re-allocate money among these investment choices at any time. In trustee-directed 401(k) plans, the employer appoints trustees who decide how the plan’s assets will be invested. Fees could reduce earnings.
Other Retirement Accounts –
There are several other choices for retirement planning if you are a business owner. Among them are Profit Sharing Plans, Defined Contribution Plans, Defined Benefit Plans and Non-qualified Deferred Compensation Arrangements including 457 Plans and Rabbi Trusts. While not all of these choices are available through our branches, all of these strategies, and more, are available through our full service Trust Department and/or Investment Services Division. Fees could reduce earnings.