...a recent retiree? What is a IRA, and how does it work?

An IRA is a tax sheltered "box" you put other accounts and investments into. It is not an investment itself.

If you're retired, you don't really need an IRA (Individual Retirement Account). The idea for an IRA is to use it as a way to defer paying taxes until you retire (and presumably, your tax rate is much lower). That probably doesn't apply for you.You probably want to invest your money in a low-risk way that gives you a decent return on your investment. Unless that you have *so* much more than you need to support your lifestyle, you can probably do better than CDs. A mix that's pretty heavy on quality bonds, with a diverse blend of stocks making up 25% or so of your investment, will mostly likely do better for you over the remainder of your life, without a significant downside to worry about.Good luck to you and congratulations on your retirement!Doug

IRAs are not investments. They are accounts that hold investments.A recent retiree might live >25+ years. That's a terribly long time....they'd better keep their portfolio/income growing (and CDs don't help much with that).