Individual Retirement Accounts
Individual Retirement Accounts (IRAs) are a great way to ensure that you retire with confidence. In order to live the lifestyles we all dream about, you should start the process today. We offer two types of IRAs: Roth and Traditional to make the journey to retirement a little easier.
No matter what your age, a CPM Federal IRA is a great investment!
IRA Programs (Last Modified: Jun 03, 2010)
| Program | Description | Who Can Contribute | 2009 Contribution limits |
|---|---|---|---|
| Traditional IRA | A tax-deferred retirement savings program, with possible tax deductions. | Individuals younger than 70½ years with earned income. | Individual - $5,000 $1,000 catch-up contribution for those 50 years and older |
| Roth IRA | A non-deductible retirement account featuring tax-free withdrawals on your earnings after five years and when you reach 59 ½ years or experience a qualifying event. | Individuals, any age, with annual, earned income. Married couples filing a joint tax return can only make a partial contribution if their income is between $166,000 and $176,000. Singles can only make a partial contribution if their income is between $105,000 and $120,000. | Individual - $5,000 $1,000 catch-up contribution for those 50 years and older |
| Coverdell Education IRA | A tax-deferred investment account created for paying education expenses on behalf of a beneficiary (up to the age of 18). | Anyone can contribute. Individuals must earn less than $95,000 if filing single, and joint taxpayers must earn less than $190,000 to make a contribution. The phase out range for married couples filing a joint return is $190,000-$220,000 (partial contribution only). The phase out range for singles is $95,000-$110,000 (partial contribution only). | $2,000 per year per beneficiary |
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