Expanding Retirement Savings Opportunities with Roth Accounts

Size: px
Start display at page:

Download "Expanding Retirement Savings Opportunities with Roth Accounts"

Transcription

1 Defined Contribution Plans Expanding Retirement Savings Opportunities with Roth Accounts A growing number of plan sponsors are finding that adding Roth features to their retirement plan helps provide the balance they need to support varied retirement savings strategies without adding undue complexity. Including both pretax and Roth options in your plan allows your employees to choose whether they want to pay taxes on their retirement savings today, or delay taxation until they start withdrawing retirement benefits. The adoption rate for Roth is increasing among sponsors and participants alike. Even the U.S. Congress has a favorable view of this plan because it helps Americans save for retirement without a big hit to the current federal budget caused by pretax retirement contributions. Exhibit 1 The Growing Popularity of Roth Percentage of Plans that Offer Roth % % Sources: Vanguard, Aon Hewitt, 2013 Trends & Experience in Defined Contribution Plans, April Research note: Roth adoption and the new in-plan conversion feature, May Most current data available. Here s What You Need to Know About the Roth Option in 401(k) Plans A Roth option inside the 401(k) is similar to the elements of a Roth IRA but with the following distinctions: No income restrictions. Increased contribution ability (as opposed to the Roth IRA). Roth contributions are eligible for matching contributions by plan sponsors (match is always pretax). Qualified distributions are tax-free. In-plan conversion features allow participants to reclassify pretax assets to Roth. Not FDIC Insured May Lose Value Not Bank Guaranteed

2 OppenheimerFunds Who Are the Likely Candidates for a Roth? Younger employees who are in a lower tax bracket today than they anticipate in the future. have a long time before retirement and anticipate a significant appreciation in the value of their investments. Those who want to diversify the tax status of their retirement savings by creating some tax-free income sources to build flexibility for their retirement income strategy. by paying tax on a portion of their retirement savings at today s tax rates to hedge against higher tax rates in the future. Highly paid employees and employees with significant assets who have not been able to contribute to a Roth IRA because of the earned income restrictions, such as your valued senior management team. are not likely to be in a significantly lower tax bracket upon retirement. Those who want to reduce taxable income in retirement to reduce the amount of income taken into consideration when calculating whether Social Security benefits are taxable. because they anticipate a significant appreciation in the value of certain investments and want to pay the tax on the lower value now by converting their pretax assets to a Roth account. Exhibit 2 Younger Workers Embrace Roth 20% 17.2% % % 8.9% 5.7% 5 Ages Ages Ages Ages Age Contributing to Roth Source: Aon Hewitt, Roth Usage in Defined Contribution Plans, April Employees who want to position retirement assets as part of their estate plan to transfer tax-free assets to beneficiaries after the employee s death. and want the ability at age 70½ to roll over plan assets, on a tax-free basis, to a Roth IRA in order to preserve those assets (since Roth plan assets converted to a Roth IRA are not subjected to required minimum distributions). 2

3 The Right Way to Invest The Tax Diversification Benefit of Roth Whether to contribute to a Traditional 401(k) or a Roth option depends on many variables, but current and future tax rates are among the most important. Roth contributions are made with after-tax dollars. However, distributions representing return of contributions and earnings are received tax-free if holding periods and other restrictions are satisfied. Regardless of tax bracket at the time of contribution, participants contributing to Roth accounts win if tax rates are higher at the time of distribution, lose if tax rates decrease, and come out even if rates remain the same. Conversely, Traditional (pretax) 401(k) account contributions receive the benefit of tax deferral. However, contributions and earnings attributable to traditional accounts are taxed at ordinary income tax rates when distributed. Therefore, participants win if tax rates are lower at the time of distribution, they lose if tax rates are higher, and they come out even if rates are unchanged. So why is tax diversification important? For many plan participants with a significant portion of retirement assets in tax-qualified accounts, distributions will be subject to ordinary income tax. Inevitably, retirement account assets will be liquidated over time to generate income in retirement, supplementing Social Security and perhaps pension income. Retirees, therefore, may be surprised to learn that their retirement income can be heavily taxed. Further, assets in pretax accounts are subject to the minimum distribution guidelines mandated by the Internal Revenue Service. This not only forces liquidation of retirement assets (whether or not they are needed), but also imposes the payment of taxes. Additionally, it limits flexibility with respect to financial and estate planning. consequences and evaluate whether the conversion of assets to an after-tax status makes sense in the context of the individual s broader tax strategy. Exhibit 3 Roth 401(k) vs. Pretax 401(k) Contributions Example 1: Identical Tax Rates at Contribution and Distribution 1 Tax rates constant at 39.6% Pretax Roth Amount Contributed Gross $18,000 $18,000 Amount Contributed Net of Taxes 18,000 10,872 Gross Value at Year 6% 30,411 18,368 Taxes Due at Distribution 1 12,043 Net Value in Year 10 18,368 18,368 Net Result 1. This assumes the distribution qualifies for favorable tax treatment at distribution. Example 2: Lower Tax Rates at Contribution; Higher Tax Rates at Distribution 25% Tax rate at contribution; 39.6% at distribution Pretax Roth Amount Contributed Gross $18,000 $18,000 Amount Contributed Net of Taxes 18,000 13,500 Gross Value at Year 6% 30,411 22,808 Taxes Due at Distribution 12,043 Net Value in Year 10 18,368 22,808 Net Result 4,440 Consider Leveraging In-Plan Roth Rollovers to Accumulate Tax-Free Retirement Savings In-plan Roth rollovers allow participants to convert vested portions of their pretax plan or after-tax assets to a Roth account within the plan. For example, if a participant has $50,000 of pretax assets in a 401(k) plan and wants to convert $10,000 to a Roth account using an in-plan Roth rollover, the $10,000 rollover is considered a taxable event. In the year of the conversion, the participant would have to include that amount as part of his/her taxable income for that year. In this case, the participant may need to increase his/her withholding or make estimated tax payments to avoid an underpayment penalty. After the rollover, the $10,000 will sit in the Roth account and can grow on a tax-free basis. Employees considering an in-plan Roth rollover should consult with their tax advisor to discuss all the potential tax Example 3: Higher Tax Rates at Contribution; Lower Tax Rates at Distribution 36.9% Tax rate at contributon; 25% at distribution Pretax Roth Amount Contributed Gross $18,000 $18,000 Amount Contributed Net of Taxes 18,000 10,872 Gross Value at Year 6% 30,411 18,368 Taxes Due at Distribution 7,603 Net Value in Year 10 22,808 18,368 Net Result 4,440 These are hypothetical illustrations. This material does not constitute a recommendation as to the suitability of any investment for any person or persons having circumstances similar to those portrayed. Withdrawals from tax-deferred accounts prior to age 59½ may be subject to taxes and penalties. Clients are strongly encouraged to obtain tax advice from a financial advisor or qualified expert. 3

4 OppenheimerFunds Roth vs. After-Tax Contributions An after-tax option (not to be confused with a Roth account) allows discretionary employee contributions on an after-tax basis. However, unlike qualified Roth distributions, which are tax-free, earnings attributable to after-tax contributions are taxable when distributed. The chart below compares the two different contribution options. Exhibit 4 Comparison of After-Tax versus Roth 401(k) Features After-Tax Contributions Money is contributed on an after-tax basis Money is contributed on an after-tax basis Limits The lesser of $53,000 or 100% of pay in 2015 (including all other employer and employee contributions) Roth $18,000 in 2015 (including before-tax contributions) Catch-Ups Not Available $6,000 in 2015 (including before-tax contributions) Taxes on Employee Contributions upon Withdrawal Taxes on Employer Match No taxes on contributions, but earnings are taxed. Any match and earnings are taxable when withdrawn. No taxes on contributions and earnings.* Any match and earnings are taxable when withdrawn. Taxes on Earnings Taxes paid when withdrawn. No tax on earnings when withdrawn. Age 70½ RMDs Yes Yes *Account must be held for at least five years, employee must be at least 59½, deceased or disabled. Rollovers of After-Tax Distributions to Fund a Roth IRA IRS Notice clarified rules for allocating pretax and after-tax amounts from distributions made from a qualified plan to multiple plans. Under this guidance, all eligible rollover distributions from qualified and other retirement plans (e.g., 401(k) plan, 403(b) plan or governmental 457(b) plan) that are made to a recipient and initiated at the same time will now be treated as a single distribution, regardless of whether the amounts are rolled over to a single destination or multiple destinations. The catch is that the distribution must be scheduled to be made at the same time in order to take advantage of the rules under the guidance. As a result of this notice, participants with pretax and after-tax amounts in their plan can transfer through direct rollovers the pretax portion of the distributions (including earnings on after-tax amounts), to a traditional IRA and the after-tax portion of the distribution to a Roth IRA. Exhibit 5 4 Example 1: To maximize tax-free benefits, it may be advantageous to roll over the entire balance. Earnings are not currently taxed. Participant Total Account Balance: $100,000 Pretax Portion: $80,000 (including earnings) After-Tax Portion: $20,000 Goal: Upon separation from service, roll over entire 401(k) balance to a traditional IRA and a Roth IRA. How it works: Plan Administrator will distribute two separate checks: One for $80,000 representing pretax contributions (including all earnings and matching contributions) headed to a traditional IRA account The other for $20,000 representing after-tax contributions converted to a Roth account Example 2: You ll be subject to taxes if you take a partial distribution. Participant Total Account Balance: $100,000 Pretax Portion: $80,000 After-Tax Portion: $20,000 Goal: Upon separation of service, take a partial distribution of the after-tax portion totaling $20,000 and roll over to a Roth IRA. How it works: Pro rata rules apply. Participant can t empty-out after-tax account. In this case the $20,000 partial distribution is split: $16,000 pretax portion going into a Traditional IRA This portion comes from the pretax account $4,000 after-tax portion going into a Roth IRA This portion comes from the after-tax account This is a hypothetical illustration. This material does not constitute a recommendation as to the suitability of any investment for any person or persons having circumstances similar to those portrayed. Withdrawals from tax-deferred accounts prior to age 59½ may be subject to taxes and penalties. Clients are strongly encouraged to obtain tax advice from a financial advisor or qualified expert.

5 The Right Way to Invest Who Benefits from the New IRS Guidance? Who benefits from the new rule which simplifies funding a Roth IRA with after-tax dollars? Participants who would like to contribute more to a Roth account, but whose companies do not offer a Roth 401(k) plan. Participants who want to build up a Roth IRA with the goal of passing it on to heirs. Participants who already make the maximum contribution to all their tax-advantaged retirement accounts and simply want to save more. Participants who have delayed saving for retirement and need to save more than a traditional 401(k) and IRA limits currently allow. Plan sponsors and participants should be aware though that the new rule will not come into play until the participant retires or separates from their company. This rule only affects participants who have contributed to an after-tax account in a traditional 401(k) plan, as opposed to a Roth 401(k). Of course, contributions in a Roth 401(k) plan can be rolled over to a Roth IRA upon a participant s departure (retirement/separation) from his/her company. In-Service Transfer of After-Tax Dollars to Fund a Roth IRA Another way to fund a Roth IRA is through an in-service transfer of after-tax dollars to a Roth IRA. This can be achieved if the after-tax account and the plan s terms permit this transfer option and there is appropriate separate accounting on the contract by the plan administrator. Who Potentially Benefits from the In-Service Transfer Option? Who benefits from this in-service option to fund a Roth IRA? Any employee whose income exceeds the thresholds for funding a Roth IRA, but would like to fund a Roth IRA. Any employee who would like to save more for retirement by funding a Roth IRA, while still employed. In order to leverage in-service transfers, the plan s terms must expressly permit this transfer option and the Recordkeeper/Administrator must have appropriate separate accounting in place. The taxpayer should consult with their tax advisor to ensure they are comfortable with this approach. Participants may also want to check with their 401(k) plan administrator, to ensure that their after-tax contributions do not cause any unintended plan discrimination testing issues which, if applicable, could result in tax filing issues for the participant. Plan sponsors and participants should be aware that the Obama Administration s recent budget proposal may cast doubt on the future validity of this tactic. Participants who may be interested in taking advantage of this option to fund a Roth IRA should consult with their tax consultant or CPA. Exhibit 6 How It Works: Funding a Roth IRA with In-Service Transfer of After-Tax Dollars Example Participant Total Account Balance: $600,000 Pretax Portion: $500,000 After-Tax Portion: $100,000 Goal: While the participant is currently employed, he/she would like to take a partial distribution of the after-tax portion and roll it to a Roth IRA. How it works: Plan Administrator will process a direct transfer in the amount of $83,333 to the Roth IRA account which is the after-tax portion less the pro rata portion of earnings attributable to the after-tax account. This earnings portion is subject to ordinary income tax plus a 10% early withdrawal penalty, if applicable. This is a hypothetical illustration. This material does not constitute a recommendation as to the suitability of any investment for any person or persons having circumstances similar to those portrayed. Withdrawals from tax-deferred accounts prior to age 59½ may be subject to taxes and penalties. Clients are strongly encouraged to obtain tax advice from a financial advisor or qualified expert. 5

6 OppenheimerFunds Exhibit 7 Roth IRA Highlights Eligibility Earnings Limit Earnings limit (modified adjusted gross income): Married filing jointly less than $193,000 (for 2015) Single less than $131,000 (for 2015) Contribution Limit $5,500 (for 2015) ($6,500 if you re age 50 or older) Aggregated with traditional IRA contributions Contribution Tax Treatment Earnings Tax Treatment Employer Matching After-tax No tax No Age 70½ Required No Minimum Distributions (RMDs) Conversion/ Rollover Options Distribution Taxation Not eligible to be rolled to an employer plan. Eligible to be rolled over or transferred to a Roth IRA any time; limited to one rollover per year. Tax-free if qualified Nonqualified distribution ordering rules assets deemed distributed in the following sequence Roth contributions (tax-free) Conversions (tax-free, possible 10% penalty tax) Earnings (taxable) Ground Rules for Adding Roth Plans considering adding or modifying a Roth plan feature should keep the following ground rules in mind. 1. Plan design: Roth contributions and in-plan Roth rollovers are separate, optional features. However, in order to offer in-plan Roth rollovers, your plan must first allow participants to make designated Roth contributions. 2. Plan amendment: Your plan document must be amended to add or expand Roth provisions. Amendments must typically be made by the last day of the plan year in which the amendment is effective. 3. Administrative setup: Communicate with your payroll provider and plan recordkeeper to make all of the proper adjustments in data collection and plan administration. Some employers limit the frequency of in-plan Roth rollovers (for example, one per year) to simplify administration and reporting. 4. Employee education: Consider offering participant education that explains the after-tax nature of Roth deferrals versus pretax deferrals. It is important to deliver effective education to explain tax strategies and saving for retirement. For more information on Roth, request our full guide, Opening the Door to Expanded Retirement Savings Opportunities: Exploring Roth and After-Tax Features in DC Plans (RPL ). Plan Loans No 6

7 The Right Way to Invest 7

8 Next Steps Contact your financial advisor, or call an OppenheimerFunds Senior Retirement Consultant at for more information on Roth accounts. The Right Way to Invest We believe The Right Way to Invest is to make global connections, look to the long term, invest with proven teams and take intelligent risks. Our long-term investment focus aligns with the long-term goals of retirement plan participants. We work closely with plan sponsors, advisors, relationship managers and consultants for defined contribution plans. We share insights on how plan sponsors can manage plans more effectively and best serve the needs of plan participants. These include informed perspectives on plan design optimization and plan efficiency measurement, as well as education on fiduciary issues to better assess and manage risk. Visit Us oppenheimerfunds.com Call Us Follow Us Investments in mutual funds are subject to market risk and volatility. Shares may gain or lose value. Federal income tax law is a highly complex area of law and is subject to change. This material is provided for general and educational purposes only, and is not intended to provide legal, tax or investment advice, or for use to avoid penalties that may be imposed under U.S. federal tax laws. This material does not address state tax laws that may also be relevant to an individual. Contact your attorney or other advisor regarding your specific legal, investment or tax situation. Shares of Oppenheimer funds are not deposits or obligations of any bank, are not guaranteed by any bank, are not insured by the FDIC or any other agency, and involve investment risks, including the possible loss of the principal amount invested. Before investing in any of the Oppenheimer funds, investors should carefully consider a fund s investment objectives, risks, charges and expenses. Fund prospectuses and summary prospectuses contain this and other information about the funds, and may be obtained by asking your financial advisor, visiting oppenheimerfunds.com or calling CALL OPP ( ). Read prospectuses and summary prospectuses carefully before investing. Oppenheimer funds are distributed by OppenheimerFunds Distributor, Inc. 225 Liberty Street, New York, NY OppenheimerFunds Distributor, Inc. All rights reserved. RPL October 9, 2015

OPENING THE DOOR TO EXPANDED RETIREMENT SAVINGS OPPORTUNITIES:

OPENING THE DOOR TO EXPANDED RETIREMENT SAVINGS OPPORTUNITIES: OPENING THE DOOR TO EXPANDED RETIREMENT SAVINGS OPPORTUNITIES: EXPLORING ROTH AND AFTER-TAX FEATURES IN DC PLANS Not FDIC Insured May Lose Value Not Bank Guaranteed RETIREMENT CONTENTS 1 Executive Summary

More information

Single. Retirement Plan A Guide for Owner-Only Businesses. Retirement

Single. Retirement Plan A Guide for Owner-Only Businesses. Retirement Retirement Single KSM Retirement Plan A Guide for Owner-Only Businesses Not FDIC Insured May Lose Value Not Bank Guaranteed OppenheimerFunds is not undertaking to provide impartial investment advice or

More information

2012 IRA and Tax Planning Reference Guide Use this guide to keep the information you need at your fingertips.

2012 IRA and Tax Planning Reference Guide Use this guide to keep the information you need at your fingertips. OppenheimerFunds Retirement Services 2012 IRA and Tax Planning Reference Guide Use this guide to keep the information you need at your fingertips. Retirement Plans Annual Limit Traditional IRA Deductibility

More information

SIMPLE IRA 2017 Fact Sheet

SIMPLE IRA 2017 Fact Sheet SIMPLE IRA 2017 Fact Sheet A retirement plan option for small business owners with 100 or fewer employees may be an ideal option for your business. The Savings Incentive Match Plan for Employees (SIMPLE)

More information

Understanding Traditional and Roth IRAs Investor Guide

Understanding Traditional and Roth IRAs Investor Guide Retirement IRA Understanding Traditional and Roth IRAs Investor Guide Not FDIC Insured May Lose Value Not Bank Guaranteed Get Ready for Retirement... Your Way Forget rocking chairs and lingering sunsets.

More information

Retirement Plans for Small Businesses Employer Guide

Retirement Plans for Small Businesses Employer Guide Retirement Retirement Plans for Small Businesses Employer Guide Not FDIC Insured May Lose Value Not Bank Guaranteed OppenheimerFunds is not undertaking to provide impartial investment advice or to provide

More information

The Roth contribution option. For retirement plans

The Roth contribution option. For retirement plans The Roth contribution option For retirement plans Contents 2 The Roth contribution option savings choice Learn about the differences between pretax and after-tax contributions 4 Comparing Roth after-tax

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

Introducing the after-tax contribution option Roth

Introducing the after-tax contribution option Roth Introducing the after-tax contribution option Roth Today s agenda The after-tax Roth contribution option Why the after-tax Roth contribution option may be right for you Comparing after-tax Roth contributions

More information

Is a Roth 403(b) Right For You? GE (04/18) (Exp. 04/20)

Is a Roth 403(b) Right For You? GE (04/18) (Exp. 04/20) Is a Roth 403(b) Right For You? important information Information provided should not be construed as investment advice and you should seek professional advice based on your specific personal circumstances.

More information

STATE OF CONNECTICUT DEFERRED COMPENSATION 457 PLAN. The Roth 457 More Choice in Your 457 Plan

STATE OF CONNECTICUT DEFERRED COMPENSATION 457 PLAN. The Roth 457 More Choice in Your 457 Plan STATE OF CONNECTICUT DEFERRED COMPENSATION 457 PLAN The Roth 457 More Choice in Your 457 Plan You should consider the investment objectives, risk, and charges and expenses of the investment options offered

More information

Opportune 401k Retirement Plan The Roth 401(k) contribution option

Opportune 401k Retirement Plan The Roth 401(k) contribution option Opportune 401k Retirement Plan The Roth 401(k) contribution option Merrill Lynch makes available products and services offered by Merrill Lynch, Pierce, Fenner & Smith Incorporated (MLPF&S) and other subsidiaries

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

Effective May 14, 2014, an after-tax Roth

Effective May 14, 2014, an after-tax Roth ACCESSBenefits for Questions and Plan Transactions If you want to elect the after-tax Roth 401(k) option, visit myhr and click on the My Pay & Benefits tab, then select 401(k) from the menu to access your

More information

INDIVIDUAL 401(k) PLAN

INDIVIDUAL 401(k) PLAN INDIVIDUAL 401(k) PLAN Guidebook CONTENTS WELCOME. When you commit to saving for retirement, you want to invest with a company that shares your dedication to hard work and results. At T. Rowe Price, we

More information

Is a Roth 401(k) Right for You?

Is a Roth 401(k) Right for You? Is a Roth 401(k) Right for You? A Decision Guide for Employees The Standard The Roth 401(k) and Your Retirement Plan Is a Roth Right for You? When it comes to saving for retirement, the question of whether

More information

Roth 401(k) Contributions

Roth 401(k) Contributions Roth 401(k) Contributions Another Way to Save in the Hitachi Data Systems 401(k) Retirement and Savings Plan ROTH 401(k) CONTRIBUTIONS ARE AVAILABLE You can sign up to make Roth 401(k) contributions any

More information

OppenheimerFunds Payroll Deduction IRA Participant Guide

OppenheimerFunds Payroll Deduction IRA Participant Guide Retirement OppenheimerFunds Payroll Deduction IRA Participant Guide Not FDIC Insured May Lose Value Not Bank Guaranteed OppenheimerFunds is not undertaking to provide impartial investment advice or to

More information

Understanding IRAs. A Summary of Individual Retirement Accounts VLC

Understanding IRAs. A Summary of Individual Retirement Accounts VLC Understanding IRAs A Summary of Individual Retirement Accounts VLC0015-0318 TABLE OF CONTENTS Get Ready for Retirement.... 1 What Is an IRA?.... 1 Types of IRAs.... 2 Traditional IRA.... 2 Roth IRA....

More information

No bank guarantee Not a deposit May lose value Not FDIC/NCUA insured Not insured by any federal government agency

No bank guarantee Not a deposit May lose value Not FDIC/NCUA insured Not insured by any federal government agency Understanding iras A Summary of Individual Retirement Accounts No bank guarantee Not a deposit May lose value Not FDIC/NCUA insured Not insured by any federal government agency 11/13 23038-13B Contents

More information

No bank guarantee Not a deposit May lose value Not FDIC/NCUA insured Not insured by any federal government agency

No bank guarantee Not a deposit May lose value Not FDIC/NCUA insured Not insured by any federal government agency Understanding iras A Summary of Individual Retirement Accounts No bank guarantee Not a deposit May lose value Not FDIC/NCUA insured Not insured by any federal government agency 1/15 23038-15A Contents

More information

Is a Roth 403(b) Right for You?

Is a Roth 403(b) Right for You? Is a Roth 403(b) Right for You? A Decision Guide for Employees The Standard The Roth 403(b) and Your Retirement Plan Is a Roth Right for You? The Roth option, if offered by your plan, is available to any

More information

are pretax deferrals or roth contributions better for your employees?

are pretax deferrals or roth contributions better for your employees? The Rules of Roth are pretax deferrals or roth contributions better for your employees? INSIDE: A BRIEF HISTORY OF ROTH CREATING AN ACTION PLAN ROTH CHECKLIST Each of your workers has a unique story, and

More information

Consider the advantages of the Roth 401(k)

Consider the advantages of the Roth 401(k) Consider the advantages of the Roth 401(k) Your plan offers a way of saving for retirement known as the Roth 401(k). What is it? It s a way to get your money tax-free in retirement. You can make tax-free

More information

Introducing the AfterTax Roth Contribution. Option. October 2017

Introducing the AfterTax Roth Contribution. Option. October 2017 Introducing the AfterTax Roth Contribution Option October 2017 Today s Agenda The after-tax Roth contribution option Why the after-tax Roth contribution option may be right for you Comparing after-tax

More information

Retirement Plans Guide Facts at a glance

Retirement Plans Guide Facts at a glance Retirement Plans Guide Facts at a glance Retirement Plan Limits for 2013 and 2014 The Internal Revenue Service has released cost-of-living adjustments applicable to dollar limits for retirement plans.

More information

US and Canadian tax considerations for withdrawals and transfers to RRSP

US and Canadian tax considerations for withdrawals and transfers to RRSP Reference Paper for Vancity US and Canadian tax considerations for withdrawals and transfers to RRSP Introduction This paper will discuss the tax implications for Canadian resident who has participated

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

Medtronic Savings and Investment Plan

Medtronic Savings and Investment Plan DB1/ 87571888.13 Medtronic Savings and Investment Plan (Also known as the Medtronic 401(k) Plan ) January 1, 2016 MEDTRONIC SAVINGS AND INVESTMENT PLAN This document is a summary of the Medtronic Savings

More information

Traditional IRA/Roth IRA

Traditional IRA/Roth IRA PREMIERE SELECT Traditional IRA/Roth IRA Invest in your retirement today. Saving for your retirement is important in any market. If you re planning for your future, an IRA can offer you more choices than

More information

Frequently asked questions pertaining to Roth 401(k) contributions, after-tax contributions and the Roth in-plan conversion feature

Frequently asked questions pertaining to Roth 401(k) contributions, after-tax contributions and the Roth in-plan conversion feature Frequently asked questions pertaining to Roth 401(k) contributions, after-tax contributions and the Roth in-plan conversion feature Is a Roth 401(k) in-plan conversion right for you? The following frequently

More information

USING IRA ASSETS TO ADDRESS YOUR WEALTH TRANSFER GOALS

USING IRA ASSETS TO ADDRESS YOUR WEALTH TRANSFER GOALS U.S. TRUST FIDUCIARY SERVICES FOR MERRILL LYNCH CLIENTS USING IRA ASSETS TO ADDRESS YOUR WEALTH TRANSFER GOALS Trusteed IRAs from U.S. Trust WHAT S INSIDE Support from Merrill Lynch and U.S. Trust Beyond

More information

TRISTAR PENSION CONSULTING

TRISTAR PENSION CONSULTING TRISTAR PENSION CONSULTING 6/1/2010 Roth 401(k) FAQs Designated Roth contributions (a/k/a Roth 401(k) or Roth deferrals) have been available since 2006, but a change in the tax laws governing Roth IRAs

More information

Roth 403(b) option offers the potential for tax-free retirement income

Roth 403(b) option offers the potential for tax-free retirement income Roth 403(b) option offers the potential for tax-free retirement income About the Roth 403(b) option: Your plan now gives you the option of contributing to a Roth 403(b) through your retirement savings

More information

SERVING A STRONG FUTURE

SERVING A STRONG FUTURE ENROLLMENT OVERVIEW SERVING A STRONG FUTURE HPOU 457 DEFERRED COMPENSATION PLAN PRODUCTS AND FINANCIAL SERVICES PROVIDED BY AMERICAN UNITED LIFE INSURANCE COMPANY, A ONEAMERICA COMPANY PREPARE FOR YOUR

More information

Added choice under your 457(b) plan.

Added choice under your 457(b) plan. 3019053.G.P-2 12/19/11 12:06 PM Page T01 Added choice under your 457(b) plan. Roth 457: A unique opportunity for tax-free* retirement income. *Qualifying conditions apply. Your future. Made easier. 3019053.G.P-2

More information

IRA rollover guide. A new job, retirement and other events could provide you with new 401(k) options

IRA rollover guide. A new job, retirement and other events could provide you with new 401(k) options IRA rollover guide A new job, retirement and other events could provide you with new 401(k) options Table of contents Exploring your options 3 Your options at a glance 5 Evaluating your options: a side-by-side

More information

The IRA opportunity: To Roth or not to Roth?

The IRA opportunity: To Roth or not to Roth? The IRA opportunity: To Roth or not to Roth? Vanguard research July 2011 Executive summary. The year 2010, which may well go down in IRA history as the year of the Roth, saw three notable legislative changes

More information

Distributions Options Guide

Distributions Options Guide Distributions Options Guide A Guide to Your Options When Separating from Service Including the Special Tax Notice Retirement Savings, Simplified Your Distribution Options Upon separation of service and

More information

Making Informed Rollover Decisions

Making Informed Rollover Decisions Making Informed Rollover Decisions WHAT TO DO WITH YOUR EMPLOYER-SPONSORED RETIREMENT PLAN ASSETS DEFINED CONTRIBUTION PLANS: A defined contribution plan does not promise a specific amount of benefits

More information

Making the Most of IRA Opportunities

Making the Most of IRA Opportunities Making the Most of IRA Opportunities Why Is Saving for Retirement So Important? Increasing life expectancies mean more time spent in retirement. Aging population puts added strain on Social Security and

More information

Distributions from your employersponsored. retirement plan. Allianz Life Insurance Company of North America Allianz Life Insurance Company of New York

Distributions from your employersponsored. retirement plan. Allianz Life Insurance Company of North America Allianz Life Insurance Company of New York Distributions from your employersponsored retirement plan Understanding your options Allianz Life Insurance Company of North America Allianz Life Insurance Company of New York AMK-068-N Page 1 of 12 Your

More information

Roth IRA Opportunities

Roth IRA Opportunities Advanced Markets Matters Roth IRA Opportunities A Financial Professional s Guide CF-81-23000 (1806) 1/8 Tax Diversification: Pay Now, Later, Never Everyone knows clients shouldn t put all their eggs in

More information

Roth 401(k) An option available to 401(k) participants

Roth 401(k) An option available to 401(k) participants Roth 401(k) An option available to 401(k) participants What is Roth 401(k)? Contributions to a qualified retirement plan have generally been tax-favored. In the case of a traditional 401(k) plan, because

More information

Introducing The OAPT Deferred Compensation Plan. Featuring Traditional and Roth 457(b) Options

Introducing The OAPT Deferred Compensation Plan. Featuring Traditional and Roth 457(b) Options Introducing The OAPT Deferred Compensation Plan Deferred Compensation Plan Featuring Traditional and Roth 457(b) Options Advisory services and securities offered through Lincoln Investment, Registered

More information

Understanding the Roth Contribution Feature : 401(k) Plans and ERISA 403(b) Plans

Understanding the Roth Contribution Feature : 401(k) Plans and ERISA 403(b) Plans A Roth 401(k) and Roth ERISA 403(b) Plan Guide for Plan Sponsors Understanding the Roth Contribution Feature : 401(k) Plans and ERISA 403(b) Plans FOR PLAN SPONSOR USE ONLY. Contents 1 Overview 2 The Roth

More information

AN OPPORTUNITY TO FUND RETIREMENT WITH A ROTH IRA

AN OPPORTUNITY TO FUND RETIREMENT WITH A ROTH IRA AN OPPORTUNITY TO FUND RETIREMENT WITH A ROTH IRA Consider Doing Business with Pacific Life VLC0707-0318W AN OPPORTUNITY FOR RETIREMENT SAVINGS If you have funds in an Individual Retirement Account (IRA),

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

YOUR GUIDE TO IDENTIFYING YOUR TAX RETURN OPPORTUNITIES

YOUR GUIDE TO IDENTIFYING YOUR TAX RETURN OPPORTUNITIES YOUR GUIDE TO IDENTIFYING YOUR TAX RETURN OPPORTUNITIES 2 At Transamerica, we re committed to providing you with the tools and information you need to make the right financial decisions. IRS Form 1040

More information

Enroll today. Enjoy tomorrow. University System of Georgia Benefits 403(b) and 457(b) Retirement Plans SAVING : INVESTING : PLANNING

Enroll today. Enjoy tomorrow. University System of Georgia Benefits 403(b) and 457(b) Retirement Plans SAVING : INVESTING : PLANNING Enroll today. Enjoy tomorrow. University System of Georgia Benefits 403(b) and 457(b) Retirement Plans SAVING : INVESTING : PLANNING 2 It s your future. Make it the one you envision. As an employee of

More information

THE VARIABLE ANNUITY LIFE INSURANCE COMPANY

THE VARIABLE ANNUITY LIFE INSURANCE COMPANY THE VARIABLE ANNUITY LIFE INSURANCE COMPANY SEPARATE ACCOUNT A UNITS OF INTEREST UNDER GROUP AND INDIVIDUAL FIXED AND VARIABLE DEFERRED ANNUITY CONTRACTS PORTFOLIO DIRECTOR PLUS PORTFOLIO DIRECTOR 2 PORTFOLIO

More information

Retirement plans guide Facts at a glance

Retirement plans guide Facts at a glance Retirement plans guide Facts at a glance Contents 1 What s your plan? 2 Small business/employer retirement plans 4 IRAs 5 Retirement plan distributions 7 Rollovers and transfers 9 Federal tax rates and

More information

Cleveland Clinic Akron General Retirement Program

Cleveland Clinic Akron General Retirement Program Cleveland Clinic Akron General Retirement Program A good thing is getting better. New Fee Structure for All Cleveland Clinic/Akron General Plans New Option to Save Above the IRS Limits in your Matched

More information

TRADITIONAL IRA DISCLOSURE STATMENT

TRADITIONAL IRA DISCLOSURE STATMENT TRADITIONAL IRA DISCLOSURE STATMENT The Traditional Individual Retirement Account ( Traditional IRA ) presented with this Disclosure Statement is a retirement plan made available to individuals. An individual

More information

Roth After-Tax Features

Roth After-Tax Features Roth After-Tax Features A New Way to Save for Your Future For the following employees: Eligible active salaried and non-union, non-exempt employees, and executives participating in the Kaiser Permanente

More information

Franklin Templeton IRA

Franklin Templeton IRA Investor s Guide Franklin Templeton IRA Traditional IRA Roth IRA Whether you are just starting to save or entering retirement, an IRA can be an important part of a sound financial strategy to meet your

More information

employee benefits update

employee benefits update employee benefits update february/march 2007 When your plan year isn t the calendar year ESOP basics Set-up, distribution and diversification rules It doesn t have to be confusing Distributions of Roth

More information

Retirement Plans for Small Businesses Employer Guide

Retirement Plans for Small Businesses Employer Guide Retirement Retirement Plans for Small Businesses Employer Guide Not FDIC Insured May Lose Value Not Bank Guaranteed Significant Advantages for You and Your Business Recognizing the huge impact that small

More information

S ta te of Connecticut de fer red co mpensatio n Plan. distribution options TAKING WITHDRAWALS FROM YOUR PLAN ACCOUNT

S ta te of Connecticut de fer red co mpensatio n Plan. distribution options TAKING WITHDRAWALS FROM YOUR PLAN ACCOUNT S ta te of Connecticut de fer red co mpensatio n 4 5 7 Plan distribution options TAKING WITHDRAWALS FROM YOUR PLAN ACCOUNT by participating in the State of Connecticut Deferred Compensation 457 Plan,

More information

THE VARIABLE ANNUITY LIFE INSURANCE COMPANY SEPARATE ACCOUNT A UNITS OF INTEREST UNDER GROUP FIXED AND VARIABLE DEFERRED ANNUITY CONTRACTS.

THE VARIABLE ANNUITY LIFE INSURANCE COMPANY SEPARATE ACCOUNT A UNITS OF INTEREST UNDER GROUP FIXED AND VARIABLE DEFERRED ANNUITY CONTRACTS. THE VARIABLE ANNUITY LIFE INSURANCE COMPANY SEPARATE ACCOUNT A UNITS OF INTEREST UNDER GROUP FIXED AND VARIABLE DEFERRED ANNUITY CONTRACTS Potentia STATEMENT OF ADDITIONAL INFORMATION FORM N-4 PART B May

More information

Retirement Income: 401(k) and Other Employer-Sponsored Retirement Plans

Retirement Income: 401(k) and Other Employer-Sponsored Retirement Plans Nicholson Financial Services, Inc. David S. Nicholson Financial Advisor 89 Access Road Ste. C Norwood, MA 02062 781-255-1101 866-668-1101 david@nicholsonfs.com www.nicholsonfs.com Retirement Income: 401(k)

More information

Roth contributions. City of Seattle Voluntary Deferred Compensation Plan and Trust

Roth contributions. City of Seattle Voluntary Deferred Compensation Plan and Trust Roth contributions City of Seattle Voluntary Deferred Compensation Plan and Trust The City of Seattle Voluntary Deferred Compensation Plan and Trust allows you to make after-tax Roth contributions that

More information

Deciphering Tax Law Changes to Retirement Plans

Deciphering Tax Law Changes to Retirement Plans Deciphering Tax Law Changes to Retirement Plans More opportunities to benefit from retirement planning laura ferrino, cfp, ctfa, clu, ccps Vice President and Wealth Strategist Wilmington Trust, N.A. key

More information

INDEPENDENCE PLUS CONTRACT SERIES STATEMENT OF ADDITIONAL INFORMATION. FORM N-4 PART B May 1, 2018 TABLE OF CONTENTS

INDEPENDENCE PLUS CONTRACT SERIES STATEMENT OF ADDITIONAL INFORMATION. FORM N-4 PART B May 1, 2018 TABLE OF CONTENTS THE VARIABLE ANNUITY LIFE INSURANCE COMPANY SEPARATE ACCOUNT A UNITS OF INTEREST UNDER GROUP AND INDIVIDUAL FIXED AND VARIABLE DEFERRED ANNUITY CONTRACTS INDEPENDENCE PLUS CONTRACT SERIES STATEMENT OF

More information

401(k) & IRA Rollover Options

401(k) & IRA Rollover Options Our Advisor and Fidelity Insight Diversification Dedicated Support Smart move ṢM 401(k) & IRA Rollover Options STRATEGIES FOR JOB CHANGERS AND RETIREES. Not FDIC Insured May Lose Value No Bank Guarantee

More information

Added choice under the State of Nevada 457(b) Deferred Compensation Plan.

Added choice under the State of Nevada 457(b) Deferred Compensation Plan. Added choice under the State of Nevada 457(b) Deferred Compensation Plan. A unique opportunity for tax-free* retirement income. * Qualifying conditions apply. Roth contributions must be held at least 5

More information

RETIREMENT STRATEGIES. Your IRA Planning for Tomorrow Today

RETIREMENT STRATEGIES. Your IRA Planning for Tomorrow Today RETIREMENT STRATEGIES Your IRA Planning for Tomorrow Today Achieving a comfortable future requires more from you more planning and more resources than in the past. Investment Products: ARE NOT INSURED

More information

Year-End Planning 2017

Year-End Planning 2017 Wealth Management Year-End Planning Executive Summary As we approach the end of, it is time to review traditional year-end planning decisions. We are aware of the significant changes in the tax code currently

More information

403(b) PLAN. Employee Guidebook. Welcome Building retirement savings Options for investing You have control Open your account CONTENTS

403(b) PLAN. Employee Guidebook. Welcome Building retirement savings Options for investing You have control Open your account CONTENTS 403(b) PLAN CONTENTS Employee Guidebook WELCOME. One of the main reasons your employer chose T. Rowe Price as an investment provider for your 403(b) plan is because we ve established a reputation for competitive

More information

STATEMENT OF ADDITIONAL INFORMATION. FORM N-4 PART B May 1, 2018

STATEMENT OF ADDITIONAL INFORMATION. FORM N-4 PART B May 1, 2018 THE VARIABLE ANNUITY LIFE INSURANCE COMPANY SEPARATE ACCOUNT A UNITS OF INTEREST UNDER GROUP UNIT PURCHASE AND GROUP FIXED AND VARIABLE DEFERRED ANNUITY CONTRACTS (GUP AND GTS-VA CONTRACTS) STATEMENT OF

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

ABC Company 123 Main Street Anywhere, USA

ABC Company 123 Main Street Anywhere, USA OTH 0 1 (k) Understanding the Tax Options Your promotional imprint here and/or back cover. ABC Company 123 Main Street Anywhere, USA 12345 www.sampleabccompany.com 1-800-123-4567 The Roth 401(k) is a contribution

More information

Chapter Seven LEARNING OBJECTIVES OVERVIEW. 7.1 Taxation of Personal Life Insurance Premiums. Cash Values

Chapter Seven LEARNING OBJECTIVES OVERVIEW. 7.1 Taxation of Personal Life Insurance Premiums. Cash Values Chapter Seven Federal Tax Considerations and Retirement Plans LEARNING OBJECTIVES Upon the completion of this chapter, you will be able to: 1. Identify taxation of premiums, cash values, policy loans and

More information

In this chapter we will discuss federal income taxation of life insurance, annuities, and retirement plans.

In this chapter we will discuss federal income taxation of life insurance, annuities, and retirement plans. Chapter Seven FEDERAL TAX CONSIDERATIONS AND RETIREMENT PLANS LEARNING OBJECTIVES Upon the completion of this chapter, you will be able to: 1. Identify taxation of premiums, cash values, policy loans and

More information

Financial Planning Perspectives Roths beyond retirement: Maximizing wealth transfers

Financial Planning Perspectives Roths beyond retirement: Maximizing wealth transfers Financial Planning Perspectives Roths beyond retirement: Maximizing wealth transfers Many investors hold substantial tax-deferred retirement accounts such as traditional IRAs and 401(k)s. Depending on

More information

Safe Harbor 401(k) Defined Contribution. Defined Contribution

Safe Harbor 401(k) Defined Contribution. Defined Contribution Basic plan type IRA based IRA based Who adopts Corporations, companies no common law corporations 100 or fewer eligible corporations and small businesses 100 or fewer Can sponsor other qualified retirement

More information

Added choice under your 457(b) plan.

Added choice under your 457(b) plan. Added choice under your 457(b) plan. Roth 457: An opportunity for tax-free* retirement income. *Qualifying conditions apply. The Roth 457(b) contribution option. You should consider the investment objectives,

More information

Retirement Plan Solutions for High New Worth Business Owners

Retirement Plan Solutions for High New Worth Business Owners Retirement Plan Solutions for High New Worth Business Owners BILL SCHORIES, CIMA, AIF, CRPS VICE PRESIDENT, SENIOR RETIREMENT CONSULTANT MAY 17, 2017 Not FDIC Insured May Lose Value Not Bank Guaranteed

More information

TRADITIONAL IRA AND ROTH IRA. Plan Today for a Secure Tomorrow

TRADITIONAL IRA AND ROTH IRA. Plan Today for a Secure Tomorrow TRADITIONAL IRA AND ROTH IRA Plan Today for a Secure Tomorrow INVESTMENT-LED. INVESTOR-FOCUSED. As an investment-led firm, we evaluate every decision from an investment perspective in an effort to achieve

More information

S A M P L E. Roth 401(k) Analysis Report. Pay Uncle Sam Now or Pay Him Later? Mr. Owner HCE. Prepared for

S A M P L E. Roth 401(k) Analysis Report. Pay Uncle Sam Now or Pay Him Later? Mr. Owner HCE. Prepared for Roth 401(k) Analysis Report Pay Uncle Sam Now or Pay Him Later? Prepared for Mr. Owner HCE Roth 401(k) Analyzer SM 2005-2006 ERISA Expertise LLC All Rights Reserved 5/7/2006 1:34 PM Page 1 of 13 Roth 401(k)

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

FOR RETIREMENT. Planning ahead. Understanding the Roth feature of your 401(k) retirement plan. Plan Participant Guide

FOR RETIREMENT. Planning ahead. Understanding the Roth feature of your 401(k) retirement plan. Plan Participant Guide FOR RETIREMENT Planning ahead Understanding the Roth feature of your 401(k) retirement plan Plan Participant Guide 2057664 What is a Roth 401(k)? A Roth 401(k) allows you to make after-tax contributions

More information

Preparing for Your Retirement: An IRA Review

Preparing for Your Retirement: An IRA Review Preparing for Your Retirement: An IRA Review How much of your earning power will be available for your use when you retire? What will happen to your standard of living when your income ceases at retirement?

More information

Roth 401(k) An option available to 401(k) participants

Roth 401(k) An option available to 401(k) participants Roth 401(k) An option available to 401(k) participants Dear retirement plan participant, We re pleased to announce that, in our effort to help you better prepare for retirement; you are now able to take

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

Extending Retirement Assets: A Stretch IRA Review

Extending Retirement Assets: A Stretch IRA Review Extending Retirement Assets: A Stretch IRA Review Are you interested in the possibility of using the funds in your traditional IRA to provide income to one or more generations of family members? Table

More information

Tax Strategies. Tax-Smart Planning for Every Stage of Life

Tax Strategies. Tax-Smart Planning for Every Stage of Life Tax-Smart Planning for Every Stage of Life General Disclaimer This discussion is based on our understanding of the tax law as it exists as of (date). The information contained in this document is not intended

More information

Roth IRAs The Roth IRA

Roth IRAs The Roth IRA Roth IRAs The Roth IRA 2017 and 2018 Questions & Answers What is a Roth Individual Retirement Account (Roth IRA)? A Roth IRA is a type of tax-preferred savings and investment account authorized by Internal

More information

STRATEGIES TO HELP YOU KEEP MORE OF YOUR INVESTMENT EARNINGS

STRATEGIES TO HELP YOU KEEP MORE OF YOUR INVESTMENT EARNINGS STRATEGIES TO HELP YOU KEEP MORE OF YOUR INVESTMENT EARNINGS VLC0774-0118 CONSIDER TAX-EFFICIENT STRATEGIES THAT HELP INCREASE YOUR INVESTMENT EARNINGS The income we keep after taxes are paid is referred

More information

Individual Retirement Account (IRA)

Individual Retirement Account (IRA) Individual Retirement Account (IRA) Investing in Your Future with The Royce Funds An IRA is a Powerful Retirement Planning Tool The importance of sound financial planning for retirement cannot be overstated.

More information

Roth Is On the Rise William C. Grossman, ERPA, QPA, APA, MBA

Roth Is On the Rise William C. Grossman, ERPA, QPA, APA, MBA Roth Is On the Rise William C. Grossman, ERPA, QPA, APA, MBA Agenda Conversion Background In-plan Roth Conversions Designated Roth and Roth IRA Plan Design Concept: Add After-tax to Increase Roth Contribution

More information

Fundamentals of Retirement Income Planning

Fundamentals of Retirement Income Planning Fundamentals of Retirement Income Planning 1 How will you know you re ready to retire? A simple question without a simple answer 2 Understand how a retirement income plan can help you Decide when you can

More information

Fundamentals of Retirement Income Planning

Fundamentals of Retirement Income Planning Fundamentals of Retirement Income Planning 1 How will you know you re ready to retire? A simple question without a simple answer 2 1 Understand how a retirement income plan can help you Decide when you

More information

RETIREMENT STRATEGIES

RETIREMENT STRATEGIES RETIREMENT STRATEGIES Starting A Business Retirement Strategies Operating A Business Marriage Investing Tax Smart Estate Planning Ending A Business Off to School Divorce And Separation Travel And Entertainment

More information

The reality is, this isn t your parents or grandparents retirement, and people are behind and concerned for very real reasons

The reality is, this isn t your parents or grandparents retirement, and people are behind and concerned for very real reasons You were invited to this presentation in part because you ve shown the discipline and foresight to have already begun investing for retirement. We re learning a lot about the importance of the accumulation

More information

IN-SERVICE WITHDRAWALS

IN-SERVICE WITHDRAWALS IN-SERVICE WITHDRAWALS from Your Employer-Sponsored Plan VAC0581-1117 STRATEGIES TO DIVERSIFY YOUR RETIREMENT PORTFOLIO If you and your financial advisor determine that an in-service withdrawal is right

More information

401(k) Plan Executive Summary January 2018

401(k) Plan Executive Summary January 2018 401(k) Plan Executive Summary January 2018 3000 Lava Ridge Court, Suite 130 Roseville, CA 95661 Tel (916) 773-3480 Fax (916) 773-3484 6400 Canoga Avenue, Suite 250 Woodland Hills, CA 91367 Tel (818) 716-0111

More information

THE EVOLUTION OF THE ROTH 401(K)

THE EVOLUTION OF THE ROTH 401(K) THE EVOLUTION OF THE ROTH 401(K) I. WHAT IS A ROTH 401(K)? A. Legislative History. 1. The Economic Growth and Tax Relief Reconciliation Act of 2001 ( EGTRRA ) authorized the establishment of Roth 401(k)

More information

TO FOCUS ON RETIREMENT

TO FOCUS ON RETIREMENT The Right Time TO FOCUS ON RETIREMENT Equian LLC Retirement Savings Plan Enrollment Overview REVERSED HEADLINE PRODUCTS AND FINANCIAL SERVICES PROVIDED BY AMERICAN UNITED LIFE INSURANCE COMPANY, A ONEAMERICA

More information

ILLINOIS 529 COLLEGE SAVINGS PLAN

ILLINOIS 529 COLLEGE SAVINGS PLAN ILLINOIS 529 COLLEGE SAVINGS PLAN Your children deserve an opportunity for higher education, and you can help them achieve it. Whether your kids are learning to walk or are in their teenage years, it

More information