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You’re
never too young or too old to start an IRA. Opening an IRA is quick
and easy. You can start a new IRA with as little as a $50.00 deposit.
You may contribute as often as you wish-there is not a set schedule.
(Yearly contribution limits do apply). There are no annual fees or service
charges and funds are invested in house.
Eligibility
Anyone under age 70 ½ who has earned income or who files jointly
with a spouse who has earned income.
Contributions
Total of all IRA contributions cannot exceed $4000 or 100% of earned
income, whichever is less. Additional catch-up contributions available
if you are age 50 or above.
Tax Benefits
Certain contributions are tax deductible
Withdrawals (IRS Penalty
Free Options)
For qualified education expenses
For first time home purchase
At or after age 59 ½
Must begin withdrawals at age 70 ½
If you become disabled
For qualified medical expenses
For payment of health insurance premiums while unemployed
Upon your death
All earnings are tax-deferred
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Eligibility
Regardless of age, anyone who has earned income (or files jointly with
a spouse with earned income) is eligible:
Up to $95,000 adjusted annual gross income for single filers
Up to $150,000 adjusted annual gross income for joint filers
Reduced contributions are allowed for the following
wage earners:
Up to $110,000 adjusted annual gross income for single filers
Up to $160,000 adjusted annual gross income for joint filers
Contribution
Total of all IRA contributions cannot exceed $4000 or 100% of earned
income, whichever is less. Additional catch-up contributions available
if you are age 50 or above.
Tax Benefits
Contributions are not normally tax deductible, but certain distributions
are tax-free. These include first time homebuyers or withdrawals after
age 59 ½. All earnings are tax deferred.
Withdrawals
Withdrawals of contributory principal are always tax-free & IRS
penalty free at any age
Interest distributions are tax-free for qualified withdrawals
You are NOT required to withdraw at age 70
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Eligibility
Each child under age 18 can have contributions made to a single account
or multiple accounts designed to benefit the child.
Contributions
Total of all after-tax contributions cannot exceed $2000.
Tax Benefits
Contributions and their subsequent earnings are tax-free when withdrawn
to pay for qualified education expenses.
Withdrawals
Tax-free withdrawals can be made for college, secondary and elementary
school expenses. These expenses include:
Tuition
Fees
Books
Supplies
Academic tutoring
Special needs services in the case of a special needs beneficiary
Expenses for room and board, uniforms, and transportation
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