Individual Retirement Account

Secure Your Future With An Individual Retirement Account

Is an IRA Right For You?  Then call one of our customer service representatives today at 615-327-9787 or Click here for more contact options.

You might also be able to save on your present taxes with an Individual Retirement Account, by deducting your qualified contributions from your taxable income. Many Americans can deduct all or part of their IRA contributions from current income taxes. The deductible amount depends on your income, marital status and whether you’re an active participant in an employer sponsored plan as defined by the Internal Revenue Service.

With an Individual Retirement Account, you may also be able defer taxes until you retire when you will probably be in a lower tax bracket. The chart below shows you how much you may be able save each year. You may want to consult your tax advisor to review the tax deductible status of an IRA. Regardless of the amount you’ll be able to save now on taxes, an IRA is a smart way for you to save for a secure retirement.

IRA Tax Savings Potential Chart:

IRADeductible
Contribution
Amount
15 %Tax
Bracket
Savings
28 %Tax
Bracket
Savings
31 %Tax
Bracket
Savings
36 %Tax
Bracket
Savings
39.6 %Tax
Bracket
Savings
$ 500 $ 75 $ 140 $ 155 $ 180 $ 198
$ 1,000 $ 150 $ 280 $ 310 $ 360 $ 396
$ 2,000 $ 300 $ 560 $ 620 $ 720 $ 792
$ 2,250 $ 337 $ 630 $ 697 $ 810 $ 891
$ 4,000 $ 600 $ 1,120 $ 1,240 $ 1,440 $ 1,584

If You’re Changing Employers, An IRA Rollover Makes Sense. If you are retiring or changing jobs and anticipate withdrawing money from your employer’s retirement plan, you can avoid withdrawal penalties by transferring your assets into an IRA or another qualified plan. You can ask your employer to arrange for a “direct rollover” of your money into a new IRA account with us, or you can do it yourself with an IRA-to-IRA rollover.

You must complete the rollover within 60 days from the date you receive the assets from your old IRA in order to qualify and not pay the mandatory 20% withholding and possibly other penalties as well. For more information about IRA Rollovers or opening a new IRA just give us a call at 615-327-9787.

Early Distribution:

Early Distribution, no known exception. If you are younger than age 59 1/2 . you may be subject to a 10 percent early withdrawal penalty tax unless you properly roll over the assets within 60 days (or 120 days in case of the return of a first-time home buyer distribution), or unless you meet an exception. The exceptions are for distributions used to pay for a:

• Higher Education Expense
• First-Time Home Purchase
• Medical Expense
• Heals Insurance Premium
• Qualified Reservist Distribution

Early Distribution, Exception applies. The following types of distributions are automatically exempt from the 10 percent early distribution penalty tax:

• A distribution made to satisfy an IRS levy
• Distributions based on an election to receive substantially equal periodic payments for the greater of five-year period or until you obtain age 59 ½

Additional Early Withdrawal Penalties. A penalty will be imposed for withdrawals before maturity. The penalty will be an amount equal to 90 days interest on the amount withdrawn.