Individual Retirement Account

An Individual Retirement Account is a form of retirement plan, that provides tax advantages for retirement savings. Start saving for the future! Contact us today to see how you can enroll.

 

Roth IRA’s

  • Contribute up to $5,500 per year into an IRA
  • Contribute up to $6,500 per year into an IRA if 50 years or older
  • Earnings are Tax Free even during distributions
  • Adjusted Income must be below $127,000.00 for singles and $188,000.00 for married couples
  • Funds cannot be withdrawn within 5 years of establishment without penalty

 

Traditional IRA’s

  • Contribute up to $5,500 per year into an IRA
  • Contribute up to $6,500 per year into an IRA if 50 years or older
  • Contribution may be deductible depending on your adjusted gross income(AGI)
  • Qualifications of deductions depend on filing status (joint or married) and AGI

 


 

Coverdell Education Savings Account (ESA)

  • Contributions up to $2,000 per year
  • Accumulates tax free with preferential tax treatment upon distribution
  • Only certain educational expenses may qualify
  • Contributions not allowed after child reaches age 18 (except for special needs children)

 


 

Health Savings Account (HAS)

To qualify, you must be under age 65 and carry a high-deductible health insurance plan. If you have a spouse who uses your insurance as secondary coverage, he or she also must be enrolled in a high-deductible plan. This high-deductible health plan must be your only health insurance — you can’t be covered by any other health insurance. However, having dental, vision, disability and long-term care insurance doesn’t disqualify you from having an HSA.

2013 (HSA) HDHP minimum required deductibles

  • $1,250 for self-only coverage
  • $2,500 for family coverage

2013 HSA Contribution Limits

  • Individuals (self-only coverage) – $3,250
  • Family coverage – $6,450

HSAs have triple tax advantages:

  1. Tax-deductible contributions
  2. Tax-free accumulation of interest and dividends tax-free
  3. Tax-free distributions for qualified medical expenses