An individual retirement account (IRA) is protected under Florida law and federal law from your creditors. When many people file for bankruptcy, they look for the biggest source of income they have. Once they have exhausted their savings account, they look towards their retirement plans, either an IRA or 401k. If you have an IRA that money is protected from your creditor's claims. When people take money out of their IRA and want to file for bankruptcy, they may be excluded because of how much money they took out of their IRA. Once you take money out of your IRA, it's no longer protected, meaning creditors can seize it.