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Traditional IRA |   Roth IRA |   Education IRA |   Spousal IRA |   Simplified Employee Pension

Traditional IRA

• Who is Eligible?
  Anyone with earned income under age 70 1/2
• Used For
  Retirement savings
• Annual Contributions
  Deductible amount depends on AGI and participation in other retirement plans
• Annual Contribution Limits
  $5500 for tax year 2013 per person to all IRAs combined (plus $1000 catch-up provision if you’re 50 or older)
• Tax Benefits
  Tax-deferred contributions and earnings

Roth IRA

• Who is Eligible?
  Anyone with earned income
• Used For
  Retirement savings
• Annual Contributions
  Not tax deductible. Contributions are made with after-tax dollars.
• Annual Contribution Limits
  $5500 for tax year 2013 per person to all IRAs combined (plus $1000 catch-up provision if you’re 50 or older)
• Tax Benefits
  Earnings grow tax free

Education IRA (Coverdell Education Savings Account)

• Who is Eligible?
  Anyone can create an account for any minor child until the age of 18
• Used For
  Education expenses
• Annual Contributions
  Not tax deductible. Contributions are made with after-tax dollars.
• Annual Contribution Limits
  Up to $2000 annually for each beneficiary for tax year 2013
• Tax Benefits
  Earnings grow tax free

Spousal IRA

• Who is Eligible?
  Married taxpayer can create a Traditional IRA or Roth IRA in the name of his or her spouse who earns less than $5500 for tax year 2013. The couple must file a joint tax return in the year of the contribution.
• Used For
  Retirement savings
• Annual Contributions
  Set up as Traditional IRA – Deductible amount depends on AGI and participation in other retirement plans. Not tax deductible if set up as a Roth IRA.
• Annual Contribution Limits
  Working spouse may contribute up to $5500 per years to the Spousal IRA and up to $5500 per year to his or her own IRA for tax year 2013
• Tax Benefits
  Traditional IRA – tax-deferred contributions and earnings. Roth IRA – earnings grow tax free.

Simplified Employee Pension

• Who is Eligible?
  Small business owners
• Used For
  Small business employee retirement saving
• Annual Contributions
  Employees are not taxed for the contributions but are taxed at distribution upon retirement. Employer’s contributions are tax deductible.
• Annual Contribution Limits
  Annual contribution can be any amount up to 25 percent of the employee’s compensation but not more than $51,000 for tax year 2013, and employees cannot contribute unless he or she is the sole employee
• Tax Benefits
  Tax-deferred contributions and earnings

The information provided in this page is not intended to be legal or tax advice.  You should consult your attorney or tax advisor  for information that relates to your specific circumstances. $25 minimum opening deposit on IRAs. A penalty may be imposed for early withdrawal.

Product descriptions herein do not take the place of required disclosures under federal and state regulations.  Please contact us for disclosures appropriate to these accounts.