Saving for retirement has become more important than ever. Investing in an Individual Retirement Account (IRA) is a powerful way to build wealth for retirement. LGE offers Traditional and Roth IRAs as well as Coverdell Education Savings Accounts (ESAs). LGE charges no maintenance fees to maintain your account, which means every dollar you contribute builds up your retirement savings. When you start contributing early, you allow your money more time to work for you. To earn even more dividends, we recommend cross-investing your IRA funds in LGE IRA certificates.* You can even contribute to your IRA through payroll transfer, painlessly and dependably.
- Competitive IRA Savings and Certificate dividends (click here for current rates)
- No maintenance fees for IRA accounts
- As of April 1, 2006, an additional $150,000 of NCUA federal deposit insurance is provided for your IRA account, which equals $250,000 to protect your assets
Also available at LGE, through our partnership with the MEMBERS® Financial Services program, you can invest your IRA in Mutual funds and other investment choices.
 If you are interested in an IRA Mutual fund, MEMBERS® Financial Services representatives are located right here at LGE: Rich Artzi and Bob Moon. If you'd like to set up an appointment to talk with Rich or Bob, please give them a call. Rich covers the Kennesaw, Austell, Northlake and Pavilions branches. 678-581-0087. Bob covers the Commerce Park Drive and Brookstone branches. 770-421-2585. You can also get information on MEMBERS® Financial Services by clicking here.
Remember that mutual funds are not federally insured, involve investment risk, may lose value and are not obligations of or guaranteed by the financial institution. So your risk tolerance will dictate whether you prefer the LGE Federally insured account or the MEMBERS® Financial Services Mutual Fund that could earn more but carries more risk.
Contributions can be made to your Roth or Traditional IRA by April 15 of each year (unless otherwise notified by the IRS), for the previous tax year. Taxpayers who are age 50 or older by the end of a tax year are eligible to make “catch-up” contributions for that year, as long as they meet the eligibility requirements for the IRA. Contributions to a Traditional IRA may be tax-deductible and a smart way to reduce your income taxes*. Use a Roth IRA to make non-tax-deductible contributions and enjoy the possibility of tax-free qualifying distributions*.
If you have earned compensation (such as wages, salaries, tips, bonuses, commissions, jury pay, or taxable alimony) or have received alimony in an amount greater than or equal to the maximum annual contribution amount and you meet the requirements, you may contribute the maximum annual amount.
- 2008 – Contribute up to $5,000 of earned income per year, plus $5,000 on behalf of a non-working spouse
- An additional $1,000 in "catch-up contributions" permitted for individuals age 50 and over
You can enjoy tax-deferred* investment growth with a Traditional IRA, which can be opened by anyone with earned income under the age of 70 1/2. Funds must begin being withdrawn when the age of 70 1/2 is reached. Contributions may be tax-deductible*.
Roth IRA contributions can be withdrawn without penalty at any time. Once the account has been open for a minimum of five tax years you can withdrawal earnings tax-free* and penalty-free as long as the withdrawals are for a qualified reason. You can continue contributing to a Roth IRA regardless of age as long as you have earned income from compensation.
Roth IRAs are available provided your Annual Gross Income (AGI) falls within the following guidelines:
|
Full Contribution if your AGI is less than: |
Partial Contribution if your AGI is less than: |
Single Filer: |
$99,000 |
$99,000 – $114,000 |
Married Filing Jointly: |
$156,000 |
$156,000 – $166,000 |
Spousal IRAs offer couples a tremendous retirement savings opportunity. Young couples take heart. Even if you or your spouse has opted to stay at home to raise a family, you don't have to miss out on the opportunity to save for a comfortable retirement.
An Education Savings Account (ESA) can help you fund your child's education!
- Contributions of up to $2,000 per year per beneficiary can be made for the benefit of a child under age 18.
- Anyone may contribute for a child (such as parents and grandparents). Phase-out limits apply based on the adjusted gross income.
- Flexibility – tax-free withdrawals for primary and secondary school expenses, in addition to college.
- Exceptions for Special Needs Students.
- Funds must be withdrawn by the time the child is age 30.
*Not intended as tax advice. Please consult your tax advisor regarding tax benefits and deductibility. |
