Law Office Of Keith R. Miles, LLC July 28, 2015

Size: px
Start display at page:

Download "Law Office Of Keith R. Miles, LLC July 28, 2015"

Transcription

1 Law Office Of Keith R. Miles, LLC Keith Miles Attorney-at-Law 2250 Oak Road PO Box 430 Snellville, GA Traditional IRAs Page 1 of 16, see disclaimer on final page

2 Traditional IRAs What is it? The basics A traditional individual retirement account (IRA) is a personal savings plan that offers certain tax benefits to encourage retirement savings. Contributions to traditional IRAs are either tax deductible (the money goes into the IRA pretax) or nondeductible (you pay income tax on the money that goes into the IRA). Regardless of whether your contributions are tax deductible, amounts contributed to a traditional IRA grow tax deferred inside the IRA. A traditional IRA is not itself an investment, but a tax-advantaged vehicle in which you can hold some of your investments. You need to decide how to invest your IRA dollars based on your own tolerance for risk and investment philosophy. How fast your IRA dollars grow is largely a function of the investments you choose to fund the IRA. Tip: The term "IRA" can refer either to an individual retirement account or an individual retirement annuity. An individual retirement annuity is an annuity or endowment contract that you purchase from a life insurance company. The contract must not be transferable, and the premiums must be flexible so that if your compensation changes, your premium payments can also change. In general, the same rules that apply to individual retirement accounts also apply to individual retirement annuities. Caution: This discussion pertains only to traditional IRAs. Roth IRAs are subject to different rules Caution: Special rules apply if you inherit an IRA. Caution: Special rules apply to certain distributions to reservists and national guardsmen called to active duty after September 11, Deductible contributions When you make tax-deductible contributions to a traditional IRA, the money you invest in the IRA is pretax. Tax-deductible contributions are pretax because they reduce your taxable income on your federal income tax return. You can contribute up to the lesser of $5,500 or 100 percent of your taxable compensation to a traditional IRA in 2015 (unchanged from 2014). If neither you nor your spouse is covered by an employer-sponsored retirement plan (see Questions & Answers, below), your entire contribution can be tax deductible. If one of you is covered by such a plan, the amount of deductible contribution you can make (if any) depends on your modified adjusted gross income (MAGI) and federal income tax filing status for the year (see Questions & Answers). Tip: Making deductible contributions to a traditional IRA often makes sense if you expect to be in a lower income tax bracket when you retire. Nondeductible contributions If you or your spouse is covered by an employer-sponsored retirement plan, you might not be able to deduct all (or any) of your traditional IRA contribution. But you can still contribute up to the annual contribution limit (or your taxable compensation for the year, if less), even if part or all of your contribution is not deductible (and therefore not pretax). Contributions that you make to a traditional IRA that you cannot deduct on your federal income tax return are referred to as nondeductible contributions. Example(s): You are a single taxpayer, have an MAGI of $64,000 for 2015, and are covered by an employer-sponsored retirement plan. Your ability to deduct traditional IRA contributions is therefore limited. You calculate that you can make only a $2,750 deductible IRA contribution. You contribute $5,500 to your traditional IRA, $2,750 of which is considered a deductible contribution, and the remaining $2,750 of which is considered a nondeductible contribution. Tip: If you are eligible to contribute to a Roth IRA there is generally no advantage to making nondeductible contributions to a traditional IRA. When can it be used? Page 2 of 16, see disclaimer on final page

3 You must receive taxable compensation during the year To contribute to an IRA (traditional or Roth), you must receive taxable compensation during the year. For purposes of IRA contributions, taxable compensation includes wages, salaries, commissions, self-employment income, and taxable alimony or separate maintenance. Other taxable income, such as interest earnings, does not qualify as taxable compensation for this purpose. Your contribution for a given year cannot exceed your taxable compensation for that year. Tip: Members of the Armed Forces may include nontaxable combat pay as part of their taxable compensation when determining how much they can contribute to an IRA (their own or a spousal IRA). For service members with only nontaxable combat pay, Roth IRA contributions will generally make more sense than nondeductible contributions to a traditional IRA. Tip: Differential pay received by service members is considered compensation for IRA contribution purposes. Differential pay is defined as any payment which: (1) is made by an employer to an individual with respect to any period during which the individual is performing service in the uniformed services while on active duty for a period of more than 30 days; and (2) represents all or a portion of the wages that the individual would have received from the employer if the individual were performing services for the employer. Tip: You don't need taxable compensation in order to make rollover contributions to your traditional IRA, or repayments of qualified reservist distributions. You must be under age 70½ You can no longer make annual contributions to a traditional IRA beginning with the year in which you reach age 70½ or any time thereafter, regardless of whether you have taxable compensation (you can, however, make rollover contributions regardless of your age). If you (and your spouse) are not covered by an employer-sponsored retirement plan contributions are fully deductible If neither you nor your spouse is covered by an employer-sponsored retirement plan (e.g., a pension, profit-sharing plan, 401(k) plan), you can deduct the full amount of your traditional IRA contribution on your federal income tax return. If you are covered by such a plan, your ability to make deductible IRA contributions depends on your MAGI and federal income tax filing status for the year. (See Questions & Answers, below.) You are considered covered by an employer-sponsored retirement plan if you were covered by such a plan for even one day during the year. You are also considered covered by such a plan if you were eligible to participate in the plan but chose not to do so. If you are covered by an employer-sponsored retirement plan, your ability to deduct your contribution depends on your modified adjusted gross income and your filing status If you are covered by an employer-sponsored retirement plan and your MAGI exceeds certain established thresholds, your deduction for your traditional IRA contribution is reduced or eliminated as follows: If your 2015 federal income tax filing status is: Your IRA deduction is reduced if your MAGI is between: Single or head of household $61,000 - $71,000 $71,000 or more Married filing jointly or qualifying widow(er) Your deduction is eliminated if your MAGI is: $98,000 - $118,000 (combined) $118,000 or more (combined) Married filing separately $0 - $10,000 $10,000 or more See Questions & Answers. These income ranges are for the 2015 tax year. The income ranges (other than married filing separately) are indexed for inflation each year. If you are married, special rules may apply Page 3 of 16, see disclaimer on final page

4 If you are covered by an employer-sponsored retirement plan, it doesn't matter whether your spouse is covered by such a plan--your ability to deduct your IRA contributions is subject to the income limits described above. If, however, you are not covered by an employer-sponsored retirement plan but your spouse is covered by such a plan, special rules must be followed to determine the deductible portion (if any) of your traditional IRA contribution: 1. If you file your federal income tax return as married filing jointly and your combined MAGI in 2015 is $183,000 ($181,000 in 2014) or less, you can make a fully deductible contribution to a traditional IRA. 2. If you file as married filing jointly and your combined MAGI in 2015 is between $183,000 and $193,000 ($181,000 and $191,000 in 2014), you can make a partially deductible IRA contribution. See Questions & Answers. 3. If you file as married filing jointly and your combined MAGI in 2015 is $193,000 ($191,000 in 2014) or more, you cannot deduct any portion of your traditional IRA contribution. See Questions & Answers. 4. If you file your federal income tax return as married filing separately but lived with your spouse at any time during the year, your ability to make deductible IRA contributions is limited. If you file as married filing separately but did not live with your spouse at any time during the year, you are considered a single taxpayer for purposes of determining the deductible portion (if any) of your IRA contribution. Tip: If you are married filing a joint return, you may be able to contribute to an IRA for your spouse, even if he or she has little or no taxable compensation. Strengths Contributions can be made on a pretax basis Assuming you qualify for deductible contributions to a traditional IRA, those contributions are made on a pretax basis. In other words, the deductible portion of your IRA contribution reduces your taxable income on your federal income tax return. You don't have to pay federal income tax on your deductible contribution amounts until you withdraw those amounts from the traditional IRA. IRA funds grow tax deferred Funds in a traditional IRA, including investment earnings, are not taxed until they are distributed to you. This tax deferral greatly increases the growth potential of your IRA. With earnings compounding tax deferred year after year in the IRA, you will generally end up with a larger balance than if you invested the same amount in a taxable investment at the same rate of return. IRA investment choices are broad and diverse You can establish an IRA with a bank, mutual fund company, life insurance company, or stock brokerage firm. You can even have multiple IRA accounts with more than one institution (though your total contribution to all of your IRAs cannot exceed the annual limit). Furthermore, you can choose from a wide range of specific investments to fund your IRA. Intense competition for IRA dollars has led to a large number of IRA providers and investment choices. Caution: All investing involves risk, including the possible loss of principal. Before investing in any mutual fund, carefully consider its investment objectives, risks, fees, and expenses, which are discussed in the prospectus available from the fund. Read the prospectus carefully before investing. State and federal laws may provide protection from creditors Many states shield IRAs from creditors. You should check with an attorney to find out how your state treats IRAs. However, while the protection given to funds in an IRA is generally greater than that given to non-ira investments, it is usually significantly less than that given to funds held in qualified retirement plans. Federal law provides protection for up to $1,245,475 (as of April 1, 2013) (and in some cases more) of your aggregate Roth and traditional IRA assets if you declare bankruptcy. (Amounts rolled over to the IRA from an employer qualified plan or 403(b) plan, plus any earnings on the rollover, aren't subject to this dollar cap and are fully protected.) The laws of your particular state may provide additional bankruptcy protection, and may provide protection from the claims of your creditors in cases outside of bankruptcy. May increase income-sensitive deductions Assuming you qualify for deductible IRA contributions, that portion of your contribution reduces your taxable income on your federal income tax return. When you reduce your taxable income in this manner, other deductions that are income sensitive (such Page 4 of 16, see disclaimer on final page

5 as medical expenses that exceed 10 percent of your adjusted gross income) may increase, providing additional tax benefits. A traditional IRA is relatively simple to maintain Unlike qualified employer-sponsored retirement plans, there are no annual reporting requirements for IRAs or for deductible contributions made to IRAs. (There are some record keeping and paperwork requirements associated with nondeductible contributions made to a traditional IRA.) Contributions are discretionary You do not have to make a contribution to your IRA for any given year unless you choose to. Within the limits on the amount that you can contribute each year, you can exercise complete discretion in deciding how much and when to save. "Catch-up" contributions are allowed if you're at least 50 Individuals age 50 and older may make an additional yearly catch-up contribution of up to $1,000 to a traditional or Roth IRA (over and above the regular contribution limit). The purpose of this provision is to help older individuals increase their savings as they approach retirement. You may qualify for a tax credit Certain low- and middle-income taxpayers can claim a partial, nonrefundable income tax credit for amounts contributed to a traditional or Roth IRA. The maximum annual contribution eligible for the credit is $2,000. The maximum credit is $1,000 ($2,000 times 50 percent) per taxpayer, but the actual amount of the credit (if any) depends on your MAGI. Here are the credit rates, based on 2015 MAGI limits (these limits are indexed annually for inflation): Joint Filers Heads of Household Single Filers Credit Rate Maximum Credit $0 - $36,500 $0 - $27,375 $0 - $18,250 50% of contribution (up to $2,000) $36,501 - $39,500 $27,376 - $29,625 $18,251 - $19,750 20% $400 $39,501 - $61,000 $29,626 - $45,750 $19,751 - $30,500 10% $200 Over $61,000 Over $45,750 Over $30,500 0% $0 $1,000 To claim the credit, you must be at least 18 years old and not a full-time student or a dependent on another taxpayer's return. The credit is in addition to any income tax deduction you might qualify for with respect to your IRA contribution. Caution: The amount of any contribution eligible for the credit may be reduced by any taxable distributions you (or your spouse if you file a joint return) receive from an IRA or employer-sponsored retirement plan (or any nontaxable distributions from a Roth IRA) during the same tax year, during the period for filing your tax return for that year (including extensions), or during the prior two years. Tradeoffs Your ability to make deductible contributions to an IRA may be reduced or eliminated if you are covered by an employer-sponsored retirement plan As discussed above, if you are covered by an employer-sponsored retirement plan, your ability to make deductible contributions to a traditional IRA depends on your MAGI and tax filing status for the year. For 2015, if your filing status is single or head of household, your IRA deduction is reduced if your MAGI is above $61,000 and eliminated if your MAGI is $71,000 or more. If your filing status is married filing jointly or qualifying widower, your IRA deduction is reduced if your combined MAGI is above $98,000 and eliminated if $118,000 or more. If your filing status is married filing separately, you cannot make a deductible contribution if your MAGI is $10,000 or more, and even if your MAGI is below $10,000, your ability to make a deductible contribution is limited. These income ranges (other than married filing separately) are indexed for inflation each year. If your spouse is covered by an employer-sponsored retirement plan but you are Page 5 of 16, see disclaimer on final page

6 not, special rules apply You are not considered covered by an employer-sponsored retirement plan merely because your spouse is. However, if your spouse is covered by such a plan (and you are not) and your combined MAGI on a joint return is more than $183,000, your ability to make deductible contributions to a traditional IRA in 2015 is limited. If your combined income is $193,000 or more, you cannot make a deductible contribution in 2015 at all. (These dollar limits are indexed for inflation each year.) If your spouse is covered by an employer-sponsored retirement plan and you file separate returns, your ability to make a deductible contribution is severely limited. See Questions & Answers, below. Funds you withdraw from a traditional IRA may be taxable income in the year received When you make deductible contributions to a traditional IRA, the money that you are investing in the IRA is pretax. Once in an IRA, the funds grow tax deferred. However, when you take funds out of the IRA, those deductible contribution amounts will be subject to federal income tax in the year distributed to you. Similarly, any investment earnings will be subject to federal income tax in the year distributed. Only nondeductible contribution amounts will not be taxed when distributed, since those dollars were taxed once already. Taxable income is taxed at ordinary income tax rates even if funds represent long-term capital gains or qualifying dividends Long-term capital gains are generally subject to tax at rates that are lower than ordinary income tax rates. Additionally, qualifying dividends paid to individual shareholders from domestic corporations (and qualified foreign corporations) are taxable at the lower long-term capital gains tax rates as well. Distributions from tax-deferred accounts that represent such long-term capital gains and dividends, however, will not enjoy this tax benefit--they are taxable at ordinary income tax rates. Distributions made before you reach age 59½ may be subject to a 10 percent penalty tax An IRA is a retirement savings vehicle, and the tax law encourages you to use the money in the IRA for that purpose. Although a number of exceptions exist, a 10 percent premature distribution tax generally applies to the taxable portion of any distribution that you take from a traditional IRA before reaching age 59½. This penalty tax is in addition to regular federal income tax. Your beneficiaries pay income tax on proceeds received after your death Someone has to pay the income tax on the assets in your IRA, and if it's not you, it's probably going to be your beneficiaries (unless your beneficiary is a charity). After you die, in addition to any estate tax that might be due, the funds in your traditional IRA will eventually be subject to federal income tax at your beneficiary's rate (to the extent that those funds include deductible contributions and investment earnings). However, because taxable IRA death benefits payable to your beneficiary constitute "income in respect of a decedent," or IRD, your beneficiary may be entitled to an income tax deduction equal to the estate taxes that are attributable to the IRA. No contributions can be made upon reaching age 70½ Beginning in the year that you reach age 70½, you can no longer make annual contributions to your traditional IRA. This is in contrast to the Roth IRA, which permits annual contributions after age 70½ (as long as you have taxable compensation). Contributions are limited to the annual maximum You cannot contribute a total of more than $5,500 to all of your IRAs (traditional and Roth) in 2015 (unchanged from 2014). One exception is if you're age 50 or older by the end of the calendar year. In this case, you can contribute up to $6,500 in 2015 (and 2014) due to a "catch-up" contribution provision. However, this is still considerably less than the contribution limits for most employer-sponsored retirement plans. For instance, you have two traditional IRAs and a Roth IRA. You can contribute no more than $5,500 overall in You can contribute the entire $5,500 to any one of the three IRAs, or you can divide the $5,500 contribution among them in any manner you choose. Page 6 of 16, see disclaimer on final page

7 Tip: You may also be able to contribute up to $5,500 to an IRA in 2015 in your spouse's name ($6,500 if your spouse is age 50 or older) even if he or she has little or no taxable compensation. Caution: An active reservist or guardsman who receives a qualified reservist distribution can repay all or part of that distribution to an IRA at any time during the two year period beginning on the day after active duty ends. The regular IRA contribution limits don't apply to these repayments (and the repayments aren't deductible). Tip: The annual contribution limits don't apply to rollover contributions. You must begin to take annual minimum withdrawals from your IRA when you reach age 70½ You are required to take annual minimum withdrawals (required minimum distributions) from a traditional IRA when you reach age 70½ (you can always withdraw more than the required minimum in any year). These withdrawals are calculated based on your life expectancy, and are intended to dispose of all of the money in the IRA over a given period of time. In contrast, Roth IRAs are not subject to required minimum distribution rules during your lifetime. How to do it Establish an IRA Where you choose to establish your IRA and the specific investments you choose depend on your own personal needs and preferences. You have a wide variety of choices, and you should carefully consider the matter before making your decision. How fast your IRA dollars grow is more a function of investment strategy and performance than of tax deferral. Consider whether you want to establish an IRA with a: Bank Financial institution Mutual fund company Stockbroker Life insurance company You should also consider the types of investments (e.g., stocks, bonds, mutual funds, CDs, annuities) that will best suit your goals and risk tolerance. Finally, keep in mind that you can establish multiple IRA accounts with more than one institution. Caution: All investing involves risk, including the possible loss of principal. Before investing in a mutual fund, carefully consider the investment objectives, risks, charges, and expenses of the fund. This information can be found in the prospectus, which can be obtained from the fund. Read it carefully before investing. Tip: Employers who maintain certain retirement plans (like 401(k), 403(b), or 457(b) plans) can allow employees to make their regular IRA contribution--traditional or Roth--to a special account set up under their retirement plan. These accounts, called "deemed IRAs," function just like regular IRAs. Advantages include the fact that your retirement assets can be consolidated in one place, contributions can be made automatically through payroll deduction, you can take advantage of any special investment opportunities offered in your employer's plan, and your protection from creditors may be greater than that available in a standalone IRA. The downside is that your investment choices in your employer's plan may be very limited in comparison to the universe of investment options available to you in a separate IRA. Also, the distribution options available to you and your beneficiaries in a deemed IRA may be more limited than in a standalone IRA. Because of the administrative complexity involved, most employers have so far been reluctant to offer these arrangements. Check with your plan administrator to see if this is an option for you. You have until the due date of your federal tax return for the year (usually April 15) to make a contribution for that year If you want to make an IRA contribution for the year, you have until the due date of that year's federal income tax return. For most people, this is April 15 of the following year. The period of time you have to make a contribution is not extended by any extension you may receive to file your return. So, if you obtain an automatic four-month extension, you may have additional time to file your return, but you don't have any additional time to make an IRA contribution. Page 7 of 16, see disclaimer on final page

8 Tip: You can direct the IRS to deposit all or part of your federal income tax refund directly to an IRA (subject to the normal rules governing the amount, timing, and deductibility of IRA contributions). Designate the year for which the contribution is made If you contribute to your IRA after December 31, you should tell the IRA trustee or custodian for which year the contribution is being made. For instance, if you make a contribution in February 2016 for the 2015 tax year, you should clearly identify the contribution as being made for Otherwise, the trustee or custodian may assume that the contribution is for 2016 (the year in which it is received) and report it as such. Talk to your IRA trustee or custodian about how you should identify your contribution. Deduct your contributions on your individual federal income tax return If you qualify to make deductible contributions to a traditional IRA, make sure that you calculate the portion of your annual contribution that is deductible. Then make sure that you deduct that amount on your federal income tax return. You take a deduction on your federal income tax return for the year for which you make the IRA contribution. For instance, if you make a $5,500 deductible IRA contribution in February 2016 for the tax year 2015, you deduct the contribution on your 2015 federal income tax return. Tip: You can claim a deduction for IRA contributions before you actually make them. For instance, assume you qualify to make a $5,500 deductible contribution to a traditional IRA for You can file your 2015 return in February 2016 and claim a $5,500 IRA deduction even though you may have not yet actually contributed the money. You can wait until April 15 of 2016 to contribute the $5,500 to your IRA so you can actually use your federal income tax refund to fund your 2015 IRA contribution (assuming you receive a refund by April 15). Verify contributions you make to your IRA Your IRA trustee or custodian should send you a Form 5498 (or a similar statement). This form or statement, usually sent by June, will show you all of the contributions made to your IRA for the previous year. Check it carefully, particularly if you made a contribution after the close of the calendar year. If there seems to be a problem, contact your advisor or your IRA trustee or custodian immediately. Investment choices appropriate for IRAs Remember that an IRA is not itself an investment, but a tax-advantaged vehicle in which you can hold some of your investments. Choosing specific investments to fund your IRAs is an important decision. Here are some points to keep in mind: You need to decide how to invest your IRA dollars based on your own retirement goals, tolerance for risk, investment philosophy, and other personal factors How fast your IRA dollars grow is largely a function of the investments that you choose, as well as tax deferral There are specific types of investments that you cannot use to fund your IRAs (such as life insurance), and there are some choices that usually make more sense as IRA investments than others (e.g., mutual funds, CDs) If you're unhappy with your IRA investment choices, you can typically move your money to other investments offered by the same financial institution, or to a different institution You should consider any fees associated with opening and maintaining your IRA Caution: The IRS has ruled that the wash sales rules apply if you sell stock or other securities outside of your IRA for a loss, and purchase substantially identical stock or securities in your IRA (traditional or Roth) within 30 days before or after the sale. The result is that you cannot take a deduction for your loss on the sale of the stock or securities. In addition, your basis in your IRA is not increased by the amount of the disallowed loss. You should talk to a financial professional about choosing appropriate investments for your IRAs. Tax considerations Income Tax Deductible contributions reduce your taxable income Page 8 of 16, see disclaimer on final page

9 Any deductible IRA contributions you make reduce your taxable income on your federal income tax return for the year if the contribution is made or on or before the tax-filing deadline for that year (usually April 15 of the following year). Nondeductible contributions are made with after-tax dollars Unlike deductible contributions, nondeductible contributions to a traditional IRA are made with after-tax dollars and do not reduce your taxable income for the year. However, your nondeductible contribution amounts will not be subject to federal income tax when you eventually withdraw them from the IRA. IRA investments grow tax deferred Funds in an IRA grow tax deferred. You do not pay any federal income tax on those funds as long as they remain inside the IRA. Distributions from a traditional IRA may be included in your taxable income Distributions from a traditional IRA are subject to federal income tax to the extent that those distributions consist of deductible contributions and investment earnings (the portion of a distribution that represents nondeductible contributions is not taxed, as those dollars were already taxed). Such distributions are taxable at ordinary income tax rates even if they represent long-term capital gain or dividends that would otherwise qualify for capital gains tax treatment. This is true both as you take distributions during your life, and when distributions are made to your beneficiaries after your death. A 10 percent penalty tax can be assessed on withdrawals you make prior to age 59½ Distributions you take prior to reaching age 59½ are potentially subject to a 10 percent premature distribution tax. This penalty tax is in addition to any regular federal income tax that might apply. There are a number of exceptions to the penalty, however. Rollovers In general, a rollover is the movement of funds from one retirement savings vehicle to another--in this case, from one traditional IRA to another. Rollovers are treated separately from contributions; you are still allowed to make your regular IRA contribution in a year when you have a rollover transaction. There are no age restrictions regarding rollovers, but there are other specific rules that must be followed. For example, a rollover generally must be completed within 60 days of the date the funds are released from the distributing account. If properly completed, rollovers are not subject to income tax or the premature distribution tax. There are two possible ways that IRA funds can be rolled over, a 60-day (or indirect) rollover and a trustee to trustee transfer. Tip: You can roll over funds from a traditional IRA to another traditional IRA or you can rollover funds from a Roth IRA to another Roth IRA. Special rules apply to converting or rolling over funds from a traditional IRA to a Roth IRA. See "Converting or rolling over traditional IRAs to Roth IRAs," below. You may also be able to roll over taxable funds from an IRA to an employer-sponsored retirement plan. With a 60-day rollover, you actually receive a distribution from your traditional IRA. To complete the rollover transaction, you make a deposit into the IRA that you want to receive the funds. Also, you must deposit the full amount distributed to you within the allowable 60-day period. If you fail to complete the rollover or miss the 60-day deadline, all or part of your distribution will be subject to income tax and possibly the premature distribution tax. Caution: Under recent IRS guidance, you can make only one tax-free, 60 day, rollover from one IRA to another IRA in any one-year period no matter how many IRAs (traditional, Roth, SEP, and SIMPLE) you own. This does not apply to direct (trustee-to-trustee) transfers, or Roth IRA conversions. A special transition rule applies for 2015: a tax-free rollover you made in 2014 is disregarded when determining whether a 2015 distribution can be rolled over, but only if the 2015 distribution is from an IRA that did not make, or receive, the 2014 rollover. When you take a distribution from your traditional IRA, your IRA trustee or custodian will generally withhold 10 percent for federal income tax (and possibly additional amounts for state tax and penalties) unless you instruct them not to. If tax is withheld and you then wish to roll over the distribution, you have to make up the amount withheld out of your own pocket. Otherwise, the rollover is not considered complete, and the shortfall is treated as a taxable distribution. The best way to avoid this outcome is to instruct your IRA trustee or custodian not to withhold any tax. Unlike distributions from qualified plans, IRA distributions are not subject to a mandatory withholding requirement. The second type of rollover transaction occurs directly between the trustee or custodian of your old traditional IRA, and the trustee or custodian of your new traditional IRA. You never actually receive the funds or have control of them, so a trustee-to-trustee transfer is not treated as a distribution (and therefore, the issue of tax withholding does not apply). Trustee-to-trustee transfers Page 9 of 16, see disclaimer on final page

10 avoid the danger of missing the 60-day deadline, and are not subject to the "once per 12 month" limitation. You may qualify for a tax credit If you're a low- or middle-income taxpayer, you may qualify for a partial income tax credit for amounts contributed to a traditional or Roth IRA. See the Strengths section for details. Qualified health savings account (HSA) funding distribution If you are covered by a high deductible health plan (HDHP), you may be able to make a nontaxable HSA funding distribution from your traditional IRA that would otherwise be included in income. The distribution must be a direct trustee-to-trustee transfer to an HSA. The distribution will be nontaxable to the extent it is not more than the limit on your annual HSA contributions. Generally, you can make only one nontaxable HSA funding distribution during your lifetime. However, if you change your HDHP coverage from self-only to family, you may be able to make an additional distribution during the same year. For more information, see IRS Publication 553. Gift and Estate Tax When you die, your IRA is included in determining if estate tax is due Unless you name your spouse as beneficiary (unlimited marital deduction) or a charity as beneficiary (charitable deduction), the full value of your IRA at the time of your death is added to your other assets to determine if federal gift and estate tax is due. In addition, your state may impose a state death tax. Questions & Answers What is a traditional IRA? A traditional IRA is a personal savings plan that offers certain tax advantages to encourage you to set aside money for your retirement. Depending on your circumstances, you may be able to deduct all or part of your traditional IRA contributions, thereby reducing your taxable income on your federal income tax return. Funds in a traditional IRA grow tax deferred, meaning that you pay no taxes as long as the funds remain inside the IRA. Caution: Roth IRAs, under which contributions aren't deductible but qualified distributions are tax free, and education IRAs (now known as Coverdell education savings accounts), which are used to pay for higher education expenses, are discussed elsewhere. This discussion pertains specifically to traditional IRAs. Who can set up a traditional IRA? You can set up a traditional IRA and make contributions if you received taxable compensation during the year and were not age 70½ by the end of the year. For purposes of this discussion, taxable compensation includes wages and salaries, commissions, self-employment income, and taxable alimony or separate maintenance. Taxable compensation does not include earnings and profits from property (such as rental income, interest income, and dividend income), pension or annuity income, deferred compensation received, or any items that are excluded from income. Tip: You can also establish a traditional IRA to accept rollover contributions from an employer sponsored retirement plan or from another traditional IRA, regardless of your age or the amount of your taxable income. What is a spousal IRA? If you meet certain conditions, you can set up and contribute to an IRA for your spouse, even if he or she received little or no taxable compensation in the year of the contribution. Such an IRA is referred to as a spousal IRA. To contribute to a spousal IRA for any year, you must meet five conditions: 1. You must be married at the end of the year 2. Your spouse must be under age 70½ at the end of the year 3. You must file a joint federal tax return for the year 4. You must have taxable compensation for the year Page 10 of 16, see disclaimer on final page

11 5. Your spouse's taxable compensation for the year (if any) must be less than yours How much can you contribute to an IRA? You can make contributions to your traditional IRA for each year that you qualify. To qualify to make contributions, you must have received taxable compensation during the year. In addition, you must not have reached age 70½ during the year. The most that you can contribute to your traditional IRA is the smaller of: Your taxable compensation for the year. $5,500 in 2015 (unchanged from 2014) plus an additional $1,000 each year if age 50 or older. This is the most that you can contribute whether your contributions are to one IRA or multiple IRAs (traditional and Roth). Tip: These contribution limits don't apply to rollover contributions or repayment of qualified reservist distributions. Spousal IRA : If you are married and file a joint federal income tax return, you can contribute up to $5,500 in 2014 and 2015 to your spouse's IRA, even if your spouse has little or no taxable compensation. This means that the total combined contribution that can be made to both spouses' IRAs can be as much as $11,000 in 2014 and 2015, and even more if one or both of you are age 50 or older and eligible to make catch-up contributions. Although you cannot make contributions to your own traditional IRA beginning in the year that you reach age 70½, you can continue to contribute to your spouse's traditional IRA until the year that he or she reaches age 70½ (as long as all requirements are met). Technical Note: Possible limit on contributions: Your contribution limit must be reduced by any contribution that you make to a Section 501(c)(18) plan--a specific type of pension plan created before June 25, 1959, that is funded entirely by employee contributions. Consult a tax advisor for more information. Are your contributions deductible? Unmarried individuals: If you are not covered by an employer-sponsored retirement plan, you can deduct the full amount of your traditional IRA contribution. If you are covered by an employer-sponsored retirement plan, your ability to deduct your contributions depends on your MAGI for the year. See the table below. If you are married, different rules apply: If you are covered by an employer-sponsored retirement plan, see the table below to determine if your ability to deduct contributions is limited If neither you nor your spouse is covered by an employer-sponsored retirement plan, you can deduct the full amount of your traditional IRA contribution If you are not covered by an employer-sponsored retirement plan but your spouse is, special rules apply Individuals covered by an employer-sponsored retirement plan: If your 2015 federal income tax filing status is: Your IRA deduction is reduced if your MAGI is between: Single or head of household $61,000 - $71,000 $71,000 or more Married filing jointly or qualifying widow(er) $98,000 - $118,000 $118,000 or more Married filing separately $0 - $10,000 $10,000 or more Your deduction is eliminated if your MAGI is: These income ranges are for the 2015 tax year. The income ranges (other than married filing separately) are indexed for inflation each year. Tip: If you are married but did not live with your spouse at any time during the year, and you file separate returns, you are considered a single taxpayer for purposes of determining the deductible portion of your traditional IRA contribution. Are you covered by an employer-sponsored retirement plan? An employer-sponsored retirement plan, for purposes of the IRA deduction rules, is any of the following: Page 11 of 16, see disclaimer on final page

12 A qualified pension, profit-sharing plan, stock bonus plan, or money purchase pension plan (including Keogh plans) A 401(k) plan A union plan (a qualified stock bonus, pension, or profit-sharing plan created by a collective bargaining agreement between employee representatives and one or more employers) A qualified annuity plan A plan established for its employees by the United States, by a state or political subdivision, or by any instrumentality of these entities (not including Section 457 eligible state deferred compensation plans) A Section 403(b) plan (a tax-sheltered annuity plan for employees of public schools and certain tax-exempt organizations) A simplified employee pension (SEP) plan A savings incentive match plan for employees (a SIMPLE plan) A 501(c)(18) trust (a certain type of tax-exempt trust created before June 25, 1959, that is funded only by employee contributions), if you made deductible contributions during the year If you are not sure if you are covered by an employer-sponsored retirement plan: Check your Form W-2. If you are covered by such a plan, your Form W-2 for the year should have the "Retirement plan" box checked. Ask your employer. You are generally considered to be covered by a defined contribution plan (e.g., profit-sharing plan, stock bonus plan, money purchase pension plan) if amounts are contributed or allocated to your account (even if you haven't yet vested in those contributions). You are generally considered to be covered by a defined benefit plan if you're eligible to participate in the plan, even if you choose not to do so, and even if you haven't accrued a benefit. You are not considered covered by an employer-sponsored retirement plan simply because your spouse is covered by such a plan. However, if your spouse is covered by such a plan and you are not, special rules apply. Other special rules: Member of a reserve unit of the armed forces: If you are a member of a reserve unit of the armed forces, you are not considered covered by an employer-sponsored plan if the plan was established by a government agency (the United States, a state, a political subdivision or instrumentality), and you do not serve on active duty (not counting training) for more than 90 days during the year. Volunteer firefighter: If the only reason that you are covered by an employer-sponsored retirement plan is because you are a volunteer firefighter, you will not be considered covered if the plan was established by a government agency, and your accrued retirement benefits will not provide more than $1,800 per year upon retirement. If you are covered by an employer-sponsored retirement plan, how do you calculate the amount of your deductible IRA contribution (if any)? You must first calculate your MAGI. Your MAGI is the amount of AGI shown on page 1 of your Form 1040 or 1040A, without taking into account any: IRA deduction Foreign-earned income exclusion Foreign housing exclusion or deduction Exclusion of Series EE bond (may also be called Patriot bond) interest shown on Form 8815 Exclusions of employer-provided adoption assistance Student loan interest deduction Next, check your MAGI against the income phase out ranges based on your filing status. See the chart above in "Are your contributions deductible?" If your IRA deduction is reduced and not completely eliminated, you must calculate the portion of your IRA contribution that is deductible. A worksheet is available to help you make this calculation. See IRS Publication 590, Individual Retirement Arrangements (IRAs). What if your spouse is covered by an employer-sponsored retirement plan, but you Page 12 of 16, see disclaimer on final page

13 are not? It depends upon your filing status: Married filing separately: If you file your federal income tax return as married filing separately and your spouse is covered by an employer-sponsored retirement plan, your traditional IRA deduction is reduced if your MAGI is between $0 and $10,000, and eliminated if $10,000 or more. Tip: If you are married but did not live with your spouse at any time during the year, and you file separate returns, you are considered a single taxpayer for purposes of determining the deductible portion of your traditional IRA contribution. Married filing jointly: You are not considered covered by an employer-sponsored retirement plan simply because your spouse is covered by such a plan. However, if you are not covered by an employer-sponsored retirement plan, but your spouse is, your traditional IRA deduction for 2015 is reduced if the combined MAGI of you and your spouse on a joint return is between $183,000 and $193,000, and eliminated if $193,000 or more. Example(s): William is covered by an employer-sponsored retirement plan, but William's spouse, Harriet, is not. The combined MAGI of William and Harriet for the year is $200,000. Neither William nor Harriet can make deductible IRA contributions for the year. Example(s): Compare: William is covered by an employer-sponsored retirement plan, but William's spouse, Harriet, is not. The combined MAGI of William and Harriet for the year is $125,000. Harriet can make a fully deductible IRA contribution (since their combined MAGI is less than $183,000, and Harriet herself is not covered by an employer-sponsored retirement plan). In contrast, William (who is covered by an employer-sponsored retirement plan) cannot make a deductible contribution. If you and your spouse's combined MAGI for the year is between $183,000 and $193,000, calculate your 2015 maximum deductible contribution by subtracting your combined MAGI from $193,000 and multiplying the result by 0.55 (0.65 if age 50 or older). Round the result to the next highest multiple of $10. Example(s): You are not covered by an employer-sponsored retirement plan but your spouse is. Your combined MAGI for the year is $187,000. The maximum amount that you can deduct as an IRA contribution for the year is $3,300. This amount is calculated by subtracting your combined MAGI ($187,000) from $193,000 and multiplying the result by 0.55 ($6,000 x 0.55 = $3,300). What is the limit on nondeductible contributions to a traditional IRA? The difference between the maximum amount you can contribute to a traditional IRA for a given year and the amount of your deductible contributions for that year is the amount that you can make as a nondeductible contribution. Example(s): You are single and covered by an employer-sponsored retirement plan. Your MAGI for 2015 is $66,000. You can contribute up to $5,500 to your traditional IRA for However, the largest deductible contribution that you can make is $2,750. If you contribute $5,500 to your traditional IRA, $2,750 will be deductible, and the remaining $2,750 will be nondeductible. If you want to, you can also designate a deductible contribution to a traditional IRA as a nondeductible contribution by reporting the contribution as nondeductible on your federal income tax return. Tip: If you are eligible to contribute to a Roth IRA there is generally no advantage to making nondeductible contributions to a traditional IRA. Caution: Repayments of qualified reservist distributions are not deductible. Do you have to report nondeductible contributions? Yes. For any year that you make a nondeductible contribution to a traditional IRA, you must file IRS Form 8606 with your federal income tax return. You must report nondeductible contributions on Form 8606 even if you do not have to file a federal tax return for the year. You must also file Form 8606 for any year that you take a distribution from your traditional IRA if you have ever made nondeductible contributions. Caution: If you do not report nondeductible contributions, all of your traditional IRA contributions will be treated as deductible. This means that when you make withdrawals, all of the money you withdraw from the IRA will be taxable unless you can prove to the IRS's satisfaction that nondeductible contributions were made. A penalty can be charged if you do not file Form 8606 when Page 13 of 16, see disclaimer on final page

14 required, or if you overstate the amount of your nondeductible contributions on Form If you make nondeductible contributions to a traditional IRA, does this affect distributions you take from the IRA? Yes. If you make nondeductible contributions to a traditional IRA, you have a cost basis in the IRA. Nondeductible contributions are not subject to federal income tax when they are distributed to you, because you already paid tax on those dollars and they are considered a return of your investment in the IRA. Once you have made a nondeductible contribution, withdrawals from the IRA are considered made partly from your nondeductible contributions and partly from deductible contributions and investment earnings. You should consult your tax advisor with regard to this situation. How do you calculate the taxable and nontaxable portions of a distribution if you make nondeductible contributions? If you make nondeductible contributions to a traditional IRA, you calculate and report the taxable and nontaxable portions of a distribution using IRS Form Basically, Form 8606 calculates the ratio of your nondeductible contributions to your total IRA balance, and applies that ratio to any distribution made. For instance, if 50 percent of your IRA balance represents nondeductible contributions, half of your distribution would be subject to federal income tax, but the half representing nondeductible contributions would not be. All of your traditional IRAs are aggregated for this purpose. What acts will result in penalties, and what if you contribute too much to an IRA (excess contributions)? Prohibited transactions: Improper use of an IRA by you, your beneficiary, your fiduciary, or members of your family will result in loss of beneficial tax status. Improper use includes: Borrowing money from the IRA (although you can in effect withdraw money from your IRA and pay it back within 60 days without tax or penalty by taking advantage of IRA rollover rules) Selling property to the IRA Receiving unreasonable compensation for managing the IRA Using the IRA as security for a loan Buying property for personal use with IRA funds (you can always withdraw money from your IRA to purchase property for personal use--the problem arises when you try to invest your IRA funds in such property) Investment in collectibles: If your IRA invests in collectibles, the amount invested is considered distributed to you in the year invested. In addition to federal income tax, you may have to pay the 10 percent tax on premature distributions. Collectibles include artwork, rugs, antiques, metals, gems, stamps, coins, alcoholic beverages, and certain other tangible personal property. Caution: There is an exception. Your IRA can invest in one, one-half, one-quarter, or one-tenth ounce U.S. gold coins or one-ounce silver coins minted by the U.S. Treasury Department. Tip: You can also invest your IRA assets in certain platinum coins and in gold, silver, platinum, or palladium bullion of a minimum fineness. The bullion must, however, be in the physical possession of the IRA trustee or custodian. Excess contributions: If you contribute more than you are allowed to for any year and do not withdraw this overcontribution (and any earnings attributable to the overcontribution) by the due date of your federal income tax return for that year (including extensions), you are subject to a 6 percent tax. The 6 percent tax, calculated on Form 5329, is assessed on the amount of excess contributions remaining in your IRA at the end of the tax year. Example(s): Thirty-year-old Paul Jones is single, has compensation of $32,000, and contributed $6,000 to his IRA for Paul made an excess contribution to his IRA of $500 ($6,000 minus the $5,500 limit). The contribution earns $5 interest in 2015 and $6 interest in 2016 before the due date of the return, including extensions. He does not withdraw the $500 or the interest it earned by the due date of his return, including extensions. Paul figures his excess contribution tax for 2015 by multiplying the excess contribution ($500) (or, if smaller, the total value of his traditional IRAs on December 31, 2015) by.06, giving him an additional income tax liability of $30. He enters the tax on Form 5329 and on Form Early withdrawals: Unless an exception applies, withdrawals taken prior to age 59½ are subject to a 10 percent premature distribution tax on the taxable portion of the withdrawal. Page 14 of 16, see disclaimer on final page

Caution: Special rules apply to certain distributions to reservists and national guardsmen called to active duty after September 11, 2001.

Caution: Special rules apply to certain distributions to reservists and national guardsmen called to active duty after September 11, 2001. LPL Financial Sims & Karr Financial Solutions Roger C. Sims Jason R Karr, Alex M. Means 304 North Main Street Greer, SC 29650 864-879-0337 simsandkarr@lpl.com www.simskarr.com Roth IRAs Page 1 of 13, see

More information

TRADITIONAL IRA DISCLOSURE STATEMENT

TRADITIONAL IRA DISCLOSURE STATEMENT TRADITIONAL IRA DISCLOSURE STATEMENT RIGHT TO REVOKE YOUR IRA ACCOUNT The W-2 form will have a check in the "retirement plan" box if you are covered by a retirement plan. You can also obtain IRS Notice

More information

/ / + Outstanding Rollovers, I. Account Holder s Information (Complete all sections) 2.) Subsequent Years. II. IRA Holder Life Expectancy

/ / + Outstanding Rollovers, I. Account Holder s Information (Complete all sections) 2.) Subsequent Years. II. IRA Holder Life Expectancy Fax to: 646-459-2749 Scan and e-mail to : Maintenance@SogoTrade.com REQUIRED MINIMUM DISTRIBUTION (RMD) (PLEASE READ THE ATTACHED INSTRUCTIONS) I. Account Holder s Information (Complete all sections) Name

More information

USAA TRADITIONAL / ROTH IRA

USAA TRADITIONAL / ROTH IRA USAA TRADITIONAL / ROTH Disclosure Statements and Custodial Agreements 49630-1215 Table of Contents USAA Traditional Disclosure Statement 2 USAA Roth Disclosure Statement 11 USAA Traditional Custodial

More information

Traditional Individual Retirement Account (Trust) Disclosure Statement

Traditional Individual Retirement Account (Trust) Disclosure Statement Traditional Individual Retirement Account (Trust) Disclosure Statement This Disclosure Statement contains important information about traditional Individual Retirement Accounts ( traditional IRA ) described

More information

Recent Changes to IRAs

Recent Changes to IRAs Recent Changes to IRAs Federal legislation and new IRS regulations have created several changes to IRAs in the past year. Prohibition on recharacterization of IRA conversions: Effective for taxable years

More information

(PLEASE READ THE ATTACHED INSTRUCTIONS) SEP Traditional IRA Simple. Death. Disability (Physician s statement or Disability Letter from IRS required)

(PLEASE READ THE ATTACHED INSTRUCTIONS) SEP Traditional IRA Simple. Death. Disability (Physician s statement or Disability Letter from IRS required) IRA DISTRIBUTION REQUEST (PLEASE READ THE ATTACHED INSTRUCTIONS) SEP Traditional IRA Simple I. Account Holder s Information (Complete all sections) Name (please print): Account Number: Social Security

More information

Rollovers from Employer-Sponsored Retirement Plans

Rollovers from Employer-Sponsored Retirement Plans Law Office Of Keith R. Miles, LLC Keith Miles Attorney-at-Law 2250 Oak Road PO Box 430 Snellville, GA 30078 678-666-0618 keithmiles@timetoestateplan.com www.timetoestateplan.com Rollovers from Employer-Sponsored

More information

Roth Individual Retirement Account (Trust) Disclosure Statement

Roth Individual Retirement Account (Trust) Disclosure Statement Roth Individual Retirement Account (Trust) Disclosure Statement This Disclosure Statement contains important information about traditional Individual Retirement Accounts ( traditional IRA ) described in

More information

IRAs. Your Retirement Advisor

IRAs. Your Retirement Advisor Your Retirement Advisor 508-798-5115 lynnt@yourretirementadvisor.com www.yourretirementadvisor.com IRAs March, 2017 Page 1 of 8, see disclaimer on final page Both traditional and Roth IRAs feature tax-sheltered

More information

Addendum to the Traditional IRA Custodial Agreement and Disclosures

Addendum to the Traditional IRA Custodial Agreement and Disclosures Effective January 1, 2018 Addendum to the Traditional IRA Custodial Agreement and Disclosures This Addendum changes the Traditional IRA Custodial Agreement and Disclosures ( Agreement ) document and uses

More information

SPJST ROTH INDIVIDUAL RETIREMENT ANNUITY DISCLOSURE STATEMENT

SPJST ROTH INDIVIDUAL RETIREMENT ANNUITY DISCLOSURE STATEMENT SPJST ROTH INDIVIDUAL RETIREMENT ANNUITY DISCLOSURE STATEMENT This disclosure statement explains the rules governing a Roth IRA. The term IRA will be used in this disclosure statement to refer to a Roth

More information

TRADITIONAL AND ROTH INDIVIDUAL RETIREMENT ANNUITY DISCLOSURE STATEMENT

TRADITIONAL AND ROTH INDIVIDUAL RETIREMENT ANNUITY DISCLOSURE STATEMENT AMERICAN-AMICABLE LIFE INSURANCE COMPANY OF TEXAS Waco, Texas TRADITIONAL AND ROTH INDIVIDUAL RETIREMENT ANNUITY DISCLOSURE STATEMENT This Disclosure Statement explains the rules governing both a Traditional

More information

The statutory requirements for a traditional IRA, which are described in section 408(a) of the Internal Revenue Code (Code), are as follows:

The statutory requirements for a traditional IRA, which are described in section 408(a) of the Internal Revenue Code (Code), are as follows: Page 1 of 9 This Disclosure Statement is provided in accordance with the tax laws applicable to your individual retirement account (IRA). It provides only a summary of the rules that apply to your IRA.

More information

Traditional Individual Retirement Account Disclosure Statement and Custodial Agreement

Traditional Individual Retirement Account Disclosure Statement and Custodial Agreement Traditional Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016 Page 1 of 26 Table of Contents Section I: Disclosure Statement A. Introduction... B. Contributions

More information

Converting or Rolling Over Traditional IRAs to Roth IRAs

Converting or Rolling Over Traditional IRAs to Roth IRAs Cole FInancial Consulting Jennifer J. Cole, CFA, MBA P.O. Box 1109 Sandia Park, NM 505-286-7915 JCole@ColeFinancialConsulting.com ColeFinancialConsulting.com Converting or Rolling Over Traditional IRAs

More information

T. Rowe Price Traditional and Roth IRA Disclosure Statement and Custodial Agreement T. Rowe Price Privacy Policy

T. Rowe Price Traditional and Roth IRA Disclosure Statement and Custodial Agreement T. Rowe Price Privacy Policy T. Rowe Price Traditional and Roth IRA Disclosure Statement and Custodial Agreement T. Rowe Price Privacy Policy March 2018 TABLE OF CONTENTS DISCLOSURE STATEMENT Introduction 3 Section I Revocation 3

More information

Individual Retirement Custodial Account Agreement

Individual Retirement Custodial Account Agreement Individual Retirement Custodial Account Agreement Form 5305-A under Section 408(a) of the Internal Revenue Code FORM (Rev. December 2016) The depositor named on the application is establishing a Traditional

More information

Traditional Individual Retirement Account

Traditional Individual Retirement Account NEW DIRECTION TRUST COMPANY, INC. Traditional Individual Retirement Account Custodial Agreement and Disclosure Statement Form 5305-A (Rev. March 2002) Department of the Treasury Internal Revenue Service

More information

Traditional Individual Retirement Account Disclosure Statement

Traditional Individual Retirement Account Disclosure Statement Traditional Individual Retirement Account Disclosure Statement This Disclosure Statement contains important information about traditional Individual Retirement Accounts ( traditional IRA ) described in

More information

IRA PLAN AGREEMENT. Form 5305-A Under Section 408(a) of the Internal Revenue Code (REV. MARCH 2002)

IRA PLAN AGREEMENT. Form 5305-A Under Section 408(a) of the Internal Revenue Code (REV. MARCH 2002) IRA PLAN AGREEMENT IRA PLAN AGREEMENT Form 5305-A Under Section 408(a) of the Internal Revenue Code (REV. MARCH 2002) The Depositor named on the Application is establishing a Traditional individual retirement

More information

January 12, Name Name 2 Address 1 Address 2 Address 3 City, State, Zip. Contract No.: Dear IRA Owner:

January 12, Name Name 2 Address 1 Address 2 Address 3 City, State, Zip. Contract No.: Dear IRA Owner: January 12, 2015 Symetra Life Insurance Company Retirement Division 777 108th Avenue NE, Suite 1200 Bellevue, WA 98004-5135 Mailing Address: PO Box 305156 Nashville, TN 37230-5156 Phone 1-800-796-3872

More information

Roth Individual Retirement Account Disclosure Statement

Roth Individual Retirement Account Disclosure Statement Roth Individual Retirement Account Disclosure Statement This Disclosure Statement contains important information about traditional Individual Retirement Accounts ( traditional IRA ) described in Section

More information

INSTRUCTIONS FOR OPENING YOUR SPARROW GROWTH FUND IRA

INSTRUCTIONS FOR OPENING YOUR SPARROW GROWTH FUND IRA IRA APPLICATION KIT Traditional-IRA Sparrow Growth Fund Mutual Shareholder Services, LLC 8000 Town Centre Drive, Suite 400 Broadview Heights, OH 44147 P-440-922-0066 F-440-526-4446 INSTRUCTIONS FOR OPENING

More information

Attached, please find the IRA Distribution form required for distribution requests from your Traditional, SEP, and Simple retirement accounts.

Attached, please find the IRA Distribution form required for distribution requests from your Traditional, SEP, and Simple retirement accounts. Dear Ally Invest Client: Attached, please find the IRA Distribution form required for distribution requests from your Traditional, SEP, and Simple retirement accounts. Please complete and return to Ally

More information

INFORMATION KIT GABELLI FUNDS

INFORMATION KIT GABELLI FUNDS STATE STREET BANK AND TRUST COMPANY UNIVERSAL INDIVIDUAL RETIREMENT ACCOUNT INFORMATION KIT -------------- GABELLI FUNDS State Street Bank and Trust Company Universal IRA Information Kit Supplement to

More information

Roth I R A s. General Informa tion and Instr uctions:

Roth I R A s. General Informa tion and Instr uctions: General Informa tion and Instr uctions: Roth I R A s The Roth IRA was created in 1998. Roth IRAs provide an alternative method of saving for retirement, allowing individuals to contribute aftertax monies

More information

The Sector Rotation Fund

The Sector Rotation Fund The Sector Rotation Fund SEP-IRA Including: Custodial Agreement Disclosure Statement Financial Disclosure Dated June 27, 2011 (This page was intentionally left blank.) TABLE OF CONTENTS HOW TO ESTABLISH

More information

Janus Universal IRA. Disclosure Statement & Custodial Agreement

Janus Universal IRA. Disclosure Statement & Custodial Agreement Janus Universal IRA Disclosure Statement & Custodial Agreement Janus Universal Individual Retirement Account Disclosure Statement Part One: Description of Traditional IRAs SPECIAL NOTE State Street Bank

More information

Table of Contents. 1. GENERAL Disclosure Statement and Master Terms of Individual Retirement Accounts Definitions...

Table of Contents. 1. GENERAL Disclosure Statement and Master Terms of Individual Retirement Accounts Definitions... i Table of Contents 1. GENERAL... 1 1.1 Disclosure Statement and Master Terms of Individual Retirement Accounts... 1 1.2 Definitions... 1 2. IRA ESTABLISHMENT AND ELIGIBILITY... 3 2.1 Establishing an IRA...

More information

Individual Retirement Account (IRA) Information Kit

Individual Retirement Account (IRA) Information Kit Individual Retirement Account (IRA) Information Kit (Effective January 1, 2013) Pear Tree Funds 55 Old Bedford Road Suite 202 Lincoln, MA 01773 1-800-326-2151 1117-03-0713 PEAR TREE FUNDS Individual Retirement

More information

ROTH INDIVIDUAL RETIREMENT ACCOUNT CUSTODIAL AGREEMENT & DISCLOSURE STATEMENT

ROTH INDIVIDUAL RETIREMENT ACCOUNT CUSTODIAL AGREEMENT & DISCLOSURE STATEMENT ROTH INDIVIDUAL RETIREMENT ACCOUNT CUSTODIAL AGREEMENT & DISCLOSURE STATEMENT TO ESTABLISH A HILLTOP SECURITIES INC. INDIVIDUAL RETIREMENT ACCOUNT (Roth IRA) Complete and sign all portions of the Roth

More information

GREEK CATHOLIC UNION OF THE U.S.A. DISCLOSURE STATEMENT FOR INDIVIDUAL RETIREMENT ANNUITY (IRA) UNDER SECTION 408(b) OF INTERNAL REVENUE CODE

GREEK CATHOLIC UNION OF THE U.S.A. DISCLOSURE STATEMENT FOR INDIVIDUAL RETIREMENT ANNUITY (IRA) UNDER SECTION 408(b) OF INTERNAL REVENUE CODE GREEK CATHOLIC UNION OF THE U.S.A. DISCLOSURE STATEMENT FOR INDIVIDUAL RETIREMENT ANNUITY (IRA) UNDER SECTION 408(b) OF INTERNAL REVENUE CODE 1. GENERAL. (a) This Disclosure Statement explains what you

More information

UMB Bank, n.a. Universal IRA Information Kit

UMB Bank, n.a. Universal IRA Information Kit UMB Bank, n.a. Universal IRA Information Kit INTRODUCTION: What is the Difference between a Traditional IRA and a Roth IRA? With a traditional IRA, an individual may be able to deduct the contribution

More information

Individual Retirement Account (IRA) Information Kit

Individual Retirement Account (IRA) Information Kit Individual Retirement Account (IRA) Information Kit (Effective January 1, 2018) Pear Tree Funds 55 Old Bedford Road Suite 202 Lincoln, MA 01773 1-800-326-2151 PEAR TREE FUNDS Individual Retirement Account

More information

TRANSAMERICA PREMIER FUNDS. Disclosure Statement and Custodial Agreement for IRAs. Table of Contents

TRANSAMERICA PREMIER FUNDS. Disclosure Statement and Custodial Agreement for IRAs. Table of Contents TRANSAMERICA PREMIER FUNDS Disclosure Statement and Custodial Agreement for IRAs Table of Contents IRA DISCLOSURE STATEMENT Part One: Description of Traditional IRAs 1 Special Note 1 Your Traditional IRA

More information

Converting or Rolling Over Traditional IRAs to Roth IRAs

Converting or Rolling Over Traditional IRAs to Roth IRAs LPL Financial Sims & Karr Financial Solutions Roger C. Sims Jason R Karr, Alex M. Means 304 North Main Street Greer, SC 29650 864-879-0337 simsandkarr@lpl.com www.simskarr.com Converting or Rolling Over

More information

Individual Retirement Custodial Account Agreement and Disclosure Statement

Individual Retirement Custodial Account Agreement and Disclosure Statement Individual Retirement Custodial Account Agreement and Disclosure Statement TO ESTABLISH A SOUTHWEST SECURITIES INDIVIDUAL RETIREMENT ACCOUNT (IRA) Complete and sign all portions of the IRA Adoption Agreement.

More information

P A R N A S S U S F U N D S

P A R N A S S U S F U N D S PARNASSUS FUNDS P A R N A S S U S F U N D S Useful information about IRAs What is a Traditional IRA? A traditional IRA is an Individual Retirement Account that allows you to put away money for your retirement

More information

Union Bank Traditional/SEP Individual Retirement Custodial Account Agreement

Union Bank Traditional/SEP Individual Retirement Custodial Account Agreement EFFECTIVE JANUARY 1, 2018 Union Bank Traditional/SEP Individual Retirement Custodial Account Agreement ALSO KNOWN AS ALL ABOUT UNION BANK TRADITIONAL/SEP INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT AGREEMENT

More information

Traditional and Roth IRAs. Information Kit, Disclosure Statement and Custodial Agreement

Traditional and Roth IRAs. Information Kit, Disclosure Statement and Custodial Agreement Traditional and Roth IRAs Information Kit, Disclosure Statement and Custodial Agreement UMB Bank, n.a. Universal Individual Retirement Account Disclosure Statement (EFFECTIVE DECEMBER 1, 2016) Part One:

More information

Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement

Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement BNY MELLON INVESTMENT SERVICING TRUST COMPANY Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement Deadline Extension for 2016 Contributions to a Traditional

More information

Universal Individual Retirement Account

Universal Individual Retirement Account December 30, 2017 Universal Individual Retirement Account Baron Asset Fund Baron Discovery Fund Baron Durable Advantage Fund Baron Emerging Markets Fund Baron Energy and Resources Fund Baron Fifth Avenue

More information

T. Rowe Price Traditional and Roth IRA Disclosure Statement and Custodial Agreement T. Rowe Price Privacy Policy

T. Rowe Price Traditional and Roth IRA Disclosure Statement and Custodial Agreement T. Rowe Price Privacy Policy T. Rowe Price Traditional and Roth IRA Disclosure Statement and Custodial Agreement T. Rowe Price Privacy Policy Effective November 2016 TABLE OF CONTENTS DISCLOSURE STATEMENT Introduction 3 Section I

More information

INDIVIDUAL RETIREMENT TRUST ACCOUNT AGREEMENT

INDIVIDUAL RETIREMENT TRUST ACCOUNT AGREEMENT INDIVIDUAL RETIREMENT TRUST ACCOUNT AGREEMENT Form 5305 under section 408(a) of the Internal Revenue Code. FORM (Rev. March 2002) The grantor named on the application is establishing a Traditional individual

More information

SIMPLE Individual Retirement Account Disclosure Statement

SIMPLE Individual Retirement Account Disclosure Statement SIMPLE Individual Retirement Account Disclosure Statement This Disclosure Statement contains important information about a savings incentive match plan for employees of small employers Individual Retirement

More information

Converting or Rolling Over Traditional IRAs to Roth IRAs

Converting or Rolling Over Traditional IRAs to Roth IRAs Cole FInancial Consulting Jennifer J. Cole, CFA, MBA P.O. Box 1109 Sandia Park, NM 505-286-7915 JCole@ColeFinancialConsulting.com ColeFinancialConsulting.com Converting or Rolling Over Traditional IRAs

More information

THE DAVENPORT FUNDS TRADITIONAL IRA Including: Disclosure Statement Custodial Agreement Financial Disclosure Application Transfer Form

THE DAVENPORT FUNDS TRADITIONAL IRA Including: Disclosure Statement Custodial Agreement Financial Disclosure Application Transfer Form THE DAVENPORT FUNDS TRADITIONAL IRA Including: Disclosure Statement Custodial Agreement Financial Disclosure Application Transfer Form Table of Contents HOW TO ESTABLISH YOUR IRA PLAN. 1 TRADITIONAL or

More information

BNY MELLON INVESTMENT SERVICING TRUST COMPANY. Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement

BNY MELLON INVESTMENT SERVICING TRUST COMPANY. Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement BNY MELLON INVESTMENT SERVICING TRUST COMPANY Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement IMPORTANT CHANGES TO THE RULES GOVERNING INDIRECT (60-DAY)

More information

INDIVIDUAL RETIREMENT ACCOUNT (IRA) TRADITIONAL IRA SEP IRA ROTH IRA

INDIVIDUAL RETIREMENT ACCOUNT (IRA) TRADITIONAL IRA SEP IRA ROTH IRA INDIVIDUAL RETIREMENT ACCOUNT (IRA) TRADITIONAL IRA SEP IRA ROTH IRA BNY MELLON INVESTMENT SERVICING TRUST COMPANY Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure

More information

Attached, please find the Distribution form required for distribution requests from your Roth IRA account.

Attached, please find the Distribution form required for distribution requests from your Roth IRA account. Dear Ally Invest Client: Attached, please find the Distribution form required for distribution requests from your Roth IRA account. Please complete and return to Ally Invest Securities only the first two

More information

INDIVIDUAL RETIREMENT TRUST ACCOUNT AGREEMENT

INDIVIDUAL RETIREMENT TRUST ACCOUNT AGREEMENT INDIVIDUAL RETIREMENT TRUST ACCOUNT AGREEMENT Form 5305 under section 408(a) of the Internal Revenue Code. FORM (Rev. April 2017) The grantor named on the application is establishing a Traditional individual

More information

IRA Information Traditional & Roth INVESTING FOR YOUR RETIREMENT

IRA Information Traditional & Roth INVESTING FOR YOUR RETIREMENT IRA Information Traditional & Roth INVESTING FOR YOUR RETIREMENT TABLE OF CONTENTS INTRODUCTION... 2 What s in this Booklet?... 2 Why Establish an IRA for Retirement Savings?... 2 What s the Difference

More information

Publication 590-A and. Publication 590-B

Publication 590-A and. Publication 590-B Publication 590-A and Publication 590-B This material is not intended to replace the advice of a qualified attorney, tax advisor, financial advisor, or insurance agent Before making any financial commitment

More information

Sector Rotation Fund

Sector Rotation Fund Sector Rotation Fund Traditional IRA Simple IRA Roth IRA Including: Custodial Agreement Disclosure Statement Financial Disclosure Dated June 15, 2018 (This page was intentionally left blank.) TABLE OF

More information

ARTICLE I ARTICLE II ARTICLE III ARTICLE IV ARTICLE V ARTICLE VI

ARTICLE I ARTICLE II ARTICLE III ARTICLE IV ARTICLE V ARTICLE VI Roth Individual Retirement Custodial Account (Under section 408A of the Internal Revenue Code) Form 5305-RA (Rev. March 2002) Department of the Treasury, Internal Revenue Service. Do not file with the

More information

ROTH INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT AGREEMENT

ROTH INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT AGREEMENT ROTH INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT AGREEMENT Form 5305- RA under section 408A of the Internal Revenue Code. FORM (Rev. March 2002) The depositor named on the application is establishing a Roth

More information

Converting or Rolling Over Traditional IRAs to Roth IRAs

Converting or Rolling Over Traditional IRAs to Roth IRAs LPL Financial Sims & Karr Financial Solutions Roger C. Sims Jason R Karr, Alex M. Means 304 North Main Street Greer, SC 29650 864-879-0337 simsandkarr@lpl.com www.simskarr.com Converting or Rolling Over

More information

DISCLOSURE STATEMENT. Page 7 of Ascensus, Inc / 2400R-C (Rev. 3/2016)

DISCLOSURE STATEMENT. Page 7 of Ascensus, Inc / 2400R-C (Rev. 3/2016) DISCLOSURE STATEMENT RIGHT TO REVOKE YOUR ROTH IRA You have the right to revoke your Roth IRA within seven days of the receipt of the disclosure statement. If revoked, you are entitled to a full return

More information

UMB BANK, N.A INFORMATION KIT

UMB BANK, N.A INFORMATION KIT UMB BANK, N.A UNIVERSAL INDIVIDUAL RETIREMENT ACCOUNT INFORMATION KIT (EFFECTIVE DECEMBER 1, 2016) 600 University Street, Suite 2412 Seattle, WA 98101 Main: 206.838.9850 Toll Free: 877.701.2883 Fax: 206.838.9851

More information

TRADITIONAL INDIVIDUAL RETIREMENT ACCOUNT

TRADITIONAL INDIVIDUAL RETIREMENT ACCOUNT TRADITIONAL INDIVIDUAL RETIREMENT ACCOUNT CUSTODIAL AGREEMENT & DISCLOSURE STATEMENT Recordkeeper and Administrator: Custodian: 6 Rhoads Drive #7 Utica, NY 13502 W bpas.com P 866.401.5272 315.292.6900

More information

BNY MELLON INVESTMENT SERVICING TRUST COMPANY. Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement

BNY MELLON INVESTMENT SERVICING TRUST COMPANY. Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement BNY MELLON INVESTMENT SERVICING TRUST COMPANY Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement DEADLINE EXTENSION FOR 2016 CONTRIBUTIONS TO A TRADITIONAL

More information

Exploring Your IRA Options

Exploring Your IRA Options Exploring Your IRA Options Traditional IRA Q & A.................. Page 2 Roth IRA Q & A...................... Page 5 Traditional vs. Roth IRAs............... Page 8 How does a Traditional IRA differ from

More information

IRA AND EDUCATION SAVINGS. Retirement and Education Savings Accounts. TRADITIONAL IRAs Who is Eligible for a Traditional IRA?

IRA AND EDUCATION SAVINGS. Retirement and Education Savings Accounts. TRADITIONAL IRAs Who is Eligible for a Traditional IRA? Retirement and Education Savings Accounts This booklet is designed to highlight traditional individual retirement accounts (IRAs), Roth IRAs, and Coverdell Education Savings Accounts (CESAs). It is not

More information

BNY MELLON INVESTMENT SERVICING TRUST COMPANY. Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement

BNY MELLON INVESTMENT SERVICING TRUST COMPANY. Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement BNY MELLON INVESTMENT SERVICING TRUST COMPANY Supplement to the Traditional and Roth Individual Retirement Account (IRA) Disclosure Statement DEADLINE EXTENSION FOR 2016 CONTRIBUTIONS TO A TRADITIONAL

More information

IRA: Traditional SEP APPLICATION TO PARTICIPATE Name of Financial Organization

IRA: Traditional SEP APPLICATION TO PARTICIPATE Name of Financial Organization IRA: Traditional SEP APPLICATION TO PARTICIPATE Name of Financial Organization IRA Owner Information Check here if Amendment - - Name Social Security Number Date of Birth - - E-mail Home Phone Number -

More information

Street Address. City, State, ZIP

Street Address. City, State, ZIP ROTH IRA CUSTODIAL APPLICATION PACKET (FORM ) Please Print or Type CUID (Credit union will complete.) - - IRA Owner s Social Security Number IRA Owner s Name (First, Initial, Last) Street Address IRA Owner

More information

Street Address. PRIMARY Beneficiary(ies) % Column MUST total 100% % Name Mailing Address Relationship Birth Date SS #

Street Address. PRIMARY Beneficiary(ies) % Column MUST total 100% % Name Mailing Address Relationship Birth Date SS # TRADITIONAL IRA CUSTODIAL APPLICATION PACKET (FORM ) Please Print or Type CUID (Credit union will complete.) - - IRA Owner s Social Security Number IRA Owner s Name (First, Initial, Last) Street Address

More information

Financial Advisor. Understanding IRAs. January 15, 2019 Page 1 of 5, see disclaimer on final page

Financial Advisor. Understanding IRAs. January 15, 2019 Page 1 of 5, see disclaimer on final page Financial Advisor Understanding IRAs Page 1 of 5, see disclaimer on final page Understanding IRAs An individual retirement arrangement (IRA) is a personal savings plan that offers specific tax benefits.

More information

Roth IRA Disclosure Statement

Roth IRA Disclosure Statement Roth IRA Disclosure Statement Mail or fax completed form to: P.O. Box 1555, Des Moines, IA 50306-1555 Fax: 866 709 3922 Contact us: Annuity Customer Contact Center Tel: 888 266 8489 www.atheneannuity.com

More information

UMB Bank, n.a. Universal Individual Retirement Account Disclosure Statement

UMB Bank, n.a. Universal Individual Retirement Account Disclosure Statement UMB Bank, n.a. Universal Individual Retirement Account Disclosure Statement PART ONE:DESCRIPTION OF TRADITIONAL IRAs Part One of the Disclosure Statement describes the rules applicable to traditional IRAs.

More information

IRA Plan Document and Disclosure

IRA Plan Document and Disclosure Privacy The Capital One privacy notice does not cover any relationship you may have with an agent, broker, consultant, or others. Please refer to their privacy notices to learn more about their privacy

More information

Contributions to Individual Retirement Arrangements (IRAs)

Contributions to Individual Retirement Arrangements (IRAs) Department of the Treasury Internal Revenue Service Contents What's New for 2016 1 Publication 590-A What's New for 2017 2 Cat No 66302J Reminders 2 Contributions to Individual Retirement Arrangements

More information

July 28, Re: IRA Custodian Welcome. Dear Friend:

July 28, Re: IRA Custodian Welcome. Dear Friend: July 28, 2017 Re: IRA Custodian Welcome Dear Friend: Recently you should have received notification from MidCountry Bank about the transfer of your MidCountry Bank IRA custodianship to Legence, which will

More information

IRA and Roth IRA Custodial Account Agreement Lincoln Investment Planning, LLC Agent

IRA and Roth IRA Custodial Account Agreement Lincoln Investment Planning, LLC Agent UMB Bank, n.a. Custodian IRA and Roth IRA Custodial Account Agreement Lincoln Investment Planning, LLC Agent Form 5305-A Traditional Individual Retirement Custodial Account (Rev. March 2002) Department

More information

Roth Individual Retirement Account Disclosure Statement and Custodial Agreement

Roth Individual Retirement Account Disclosure Statement and Custodial Agreement Wells Fargo Clearing Services, LLC Roth Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016 Table of Contents Section I: Disclosure Statement A. Introduction...3

More information

Roth Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016

Roth Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016 Roth Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016 544260 (Rev 17-06/17) Page 1 of 25 Table of Contents Section I: Disclosure Statement A. Introduction...

More information

chart RETIREMENT PLANS 8 RETIREMENT PLAN BENEFITS AVAILABLE RETIREMENT PLANS Retirement plans available to self-employed individuals include:

chart RETIREMENT PLANS 8 RETIREMENT PLAN BENEFITS AVAILABLE RETIREMENT PLANS Retirement plans available to self-employed individuals include: retirement plans Contributing to retirement plans can provide you with financial security as well as reducing and/or deferring your taxes. However, there are complex rules that govern the type of plans

More information

ARTICLE I ARTICLE II ARTICLE III ARTICLE IV

ARTICLE I ARTICLE II ARTICLE III ARTICLE IV Traditional Individual Retirement Custodial Account (Under section 408(a) of the Internal Revenue Code) Form 5305-A (Rev. March 2002) Department of the Treasury, Internal Revenue Service. Do not file with

More information

TRADITIONAL/SEP IRA ROTH IRA CUSTODIAL AGREEMENT DISCLOSURE STATEMENT

TRADITIONAL/SEP IRA ROTH IRA CUSTODIAL AGREEMENT DISCLOSURE STATEMENT TRADITIONAL/SEP IRA ROTH IRA CUSTODIAL AGREEMENT DISCLOSURE STATEMENT Traditional Individual Retirement Custodial Account (Under section 408(a) of the Internal Revenue Code) Form 5305-A (Rev. March 2002)

More information

Table of Contents. Disclaimer Notice... 1 Roth IRAs... 2 Roth IRA Conversion - Factors to Consider...7

Table of Contents. Disclaimer Notice... 1 Roth IRAs... 2 Roth IRA Conversion - Factors to Consider...7 Table of Contents Disclaimer Notice... 1 Roth IRAs... 2 Roth IRA Conversion - Factors to Consider...7 ImportantNotice Thisreportisintendedtoserveasabasisforfurtherdiscussionwithyourotherprofessionaladvisors.

More information

AMERUS LIFE INSURANCE COMPANY

AMERUS LIFE INSURANCE COMPANY AMERUS LIFE INSURANCE COMPANY IRA DISCLOSURE STATEMENT INTRODUCTION This Individual Retirement Annuity ("IRA") is an annuity contract issued by AmerUs Life Insurance Company ("AMERUS") to fund an individual's

More information

Roth IRA Amendment ROTH INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT 5305-RA

Roth IRA Amendment ROTH INDIVIDUAL RETIREMENT CUSTODIAL ACCOUNT 5305-RA Roth IRA Amendment Dear Roth IRA Owner: The purpose of this Amendment is to incorporate changes in law and policy that affect your Roth IRA agreement. This Amendment replaces the IRS Form 5305-RA Agreement

More information

Traditional and Roth IRA Application

Traditional and Roth IRA Application USAA Federal Savings Bank 10750 McDermott Fwy. San Antonio, TX 78288-0544 Traditional and Roth IRA Application STEP 1: Read the USAA Traditional/Roth IRA Disclosure Statements and Custodial Agreements.

More information

Traditional IRA SEP IRA Roth IRA. Disclosure Statement & Custodial Account Agreement

Traditional IRA SEP IRA Roth IRA. Disclosure Statement & Custodial Account Agreement Traditional IRA SEP IRA Roth IRA Disclosure Statement & Custodial Account Agreement Table of Contents Page in Document PART I COMBINED DISCLOSURE STATEMENT AND CUSTODIAL ACCOUNT AGREEMENT... 1 TRADITIONAL

More information

Traditional and Roth Individual Retirement Accounts (IRAs): A Primer

Traditional and Roth Individual Retirement Accounts (IRAs): A Primer Traditional and Roth Individual Retirement Accounts (IRAs): A Primer John J. Topoleski Analyst in Income Security February 12, 2015 Congressional Research Service 7-5700 www.crs.gov RL34397 Summary In

More information

Traditional Individual Retirement Custodial Account (Under section 408(a) of the Internal Revenue Code) determined as follows:

Traditional Individual Retirement Custodial Account (Under section 408(a) of the Internal Revenue Code) determined as follows: 0-A Form (Rev. April 07) Department of the Treasury Internal Revenue Service Traditional Individual Retirement Custodial Account (Under section 08(a) of the Internal Revenue Code) Introduction The Depositor

More information

Traditional Individual Retirement Account and Roth Individual Retirement Account

Traditional Individual Retirement Account and Roth Individual Retirement Account ING EXPRESS MUTUAL FUND IRA Traditional Individual Retirement Account and Roth Individual Retirement Account Disclosure Statement and Custodial Account Agreement Table of Contents I. ING express Mutual

More information

Universal Individual Retirement Account Information Kit

Universal Individual Retirement Account Information Kit Universal Individual Retirement Account Information Kit Universal Individual Retirement Custodial Account Instructions for Opening Your Traditional IRA or Roth IRA 1. Please review the applicable sections

More information

Required Minimum Distributions

Required Minimum Distributions Required Minimum Distributions What You Need To Know When It Is Time To Start Distributions From Your Retirement Accounts What Are Required Minimum Distributions? Required minimum distributions (RMDs)

More information

SIMPLE Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016

SIMPLE Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016 SIMPLE Individual Retirement Account Disclosure Statement and Custodial Agreement Effective November 11, 2016 550308 (Rev 15-06/17) Page 1 of 26 Table of Contents Section I: Disclosure Statement A. Introduction...

More information

PERSONAL FINANCE. individual retirement accounts (IRAs)

PERSONAL FINANCE. individual retirement accounts (IRAs) PERSONAL FINANCE individual retirement accounts (IRAs) 1 our purpose To lead and inspire actions that improve financial readiness for the military and local community. table of contents The Basics Of IRAs...

More information

TRADITIONAL/SEP IRA ROTH IRA CUSTODIAL AGREEMENT DISCLOSURE STATEMENT CSC-IR

TRADITIONAL/SEP IRA ROTH IRA CUSTODIAL AGREEMENT DISCLOSURE STATEMENT CSC-IR TRADITIONAL/SEP IRA ROTH IRA CUSTODIAL AGREEMENT DISCLOSURE STATEMENT 3-2009 CSC-IR-001-0300 Traditional Individual Retirement Custodial Account (Under section 408(a) of the Internal Revenue Code) Form

More information

Supplement to American Century Brokerage SEP and SIMPLE IRA Custodial Agreements

Supplement to American Century Brokerage SEP and SIMPLE IRA Custodial Agreements Supplement to American Century Brokerage SEP and SIMPLE IRA Custodial Agreements The updates below apply to the American Century Brokerage custodial agreements for the following retirement accounts: SEP

More information

Individual Retirement Accounts

Individual Retirement Accounts Individual Retirement Accounts. Individual Retirement Accounts Introduction Individual Retirement Accounts examines the rules governing traditional and Roth IRAs, Education IRAs (now called Coverdell Education

More information

Select Portfolio Management, Inc May 20, 2016

Select Portfolio Management, Inc May 20, 2016 Select Portfolio Management, Inc 26800 Aliso Viejo Parkway Suite 150 Aliso Viejo, CA 92656 949-975-7900 800-445-9822 info@selectportfolio.com www.selectportfolio.com Understanding IRAs Page 1 of 5, see

More information

Converting or Rolling Over Traditional IRAs to Roth IRAs

Converting or Rolling Over Traditional IRAs to Roth IRAs Brian Krawiec, CFP, ChFC, CLU CERTIFIED FINANCIAL PLANNER 4061 Powder Mill Road Suite 705 Calverton, MD 20705 301-595-8600 brian.krawiec@raymondjames.com www.potomacfinancialgroup.com Converting or Rolling

More information

Roth Individual Retirement Account

Roth Individual Retirement Account Roth Individual Retirement Account Custodial Agreement and Disclosure Statement NEW DIRECTION TRUST COMPANY INC. PLAN Form 5305-RA (Rev. March 2002) Department of the Treasury Internal Revenue Service

More information

ROTH IRA PLAN AGREEMENT

ROTH IRA PLAN AGREEMENT ROTH IRA PLAN AGREEMENT ROTH IRA PLAN AGREEMENT Form 5305-RA under Section 408A of the Internal Revenue Code (REV. MARCH 2002) The Depositor named on the Application is establishing a Roth Individual Retirement

More information

Traditional Individual Retirement Account and Roth Individual Retirement Account Disclosure Statement and Custodial Account Agreement

Traditional Individual Retirement Account and Roth Individual Retirement Account Disclosure Statement and Custodial Account Agreement Traditional Individual Retirement Account and Roth Individual Retirement Account Disclosure Statement and Custodial Account Agreement Table of Contents I. Voya express Mutual Fund Traditional and Roth

More information