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Highlights
on the unique
tax benefits of an IRA
The Roth IRA
The Roth IRA allows you to invest after-tax dollars now,
receive the growth of tax-deferred earnings, and have the principal
amount tax-free when you take distributions. Plus, your tax-deferred
earnings can become tax-free if the account is open for a minimum
of 5 years and one of the following events occurs: you are age 59
½, purchase a new home, disability, or death.
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Our retirement experts will explain your options thoroughly and back them up with unparalleled service.
At Union Bank,
we'll take the time to find out how you want to retire and help you get there. The right retirement starts with the right people.
To get started, call
(402) 323-1308 in Lincoln; or
toll-free (800) 297-2837. |
Roth IRA funds
may be withdrawn penalty-free, for college education expenses, or
for the purchase of your first home.
In both cases, the funds may
be used by the IRA owner, spouse, child or grandchild. (Withdrawals
prior to investment maturity may be subject to bank penalty.) A spouse
may open a Roth IRA, even if the other spouse participates in an employee-sponsored
retirement program. Refer to the Contribution Limits Chart to determine
the amount you may contribute each year. Check with a Personal Banker
for details on current income eligibility requirements. |
The Traditional
IRA
With the Traditional IRA your contributions may be eligible as a tax
deduction and the investment earnings are tax deferred until the time
of withdrawal.The Traditional IRA permits a spouse to make a tax deductible
contribution even if the other spouse participates in an employer-sponsored
retirement program. Penalty-free withdrawals can be made for college
expenses or the purchase of a first home. The funds may be used by
the IRA owner, spouse, child or grandchild. (Withdrawals prior to
investment maturity may be subject to bank penalty.)Refer to the Contribution
Limits Chart to determine the amount you may contribute each year.
Check with a Personal Banker for details on current income eligibility
requirements.
Contribution
Limits:
| Year |
2010 |
2011 |
2012 |
| Amount |
$5,000 |
$5,000 |
$5,000+* |
Catch-Up Contributions: Investors who are at least 50 years
old will be able to make "catch-up" contributions to accelerate
the accumulation of their assets in retirement accounts.
| Year |
2010 |
2011 |
2012 |
| Amount |
$1,000 |
$1,000 |
$1,000+* |
*Indexed to inflation.
IRS may adjust annually for inflation. Any adjustments will be in $500 increments.
Additional Retirement Options
SIMPLE IRA
A SIMPLE IRA plan is an IRA-based plan that gives small employers
a simplified method to make contributions toward their employees’
retirement and their own retirement. Under a SIMPLE IRA plan, employees
may choose to make salary reduction contributions and the employer
makes matching or nonelective contributions. All contributions are
made directly to an Individual Retirement Account set up for each
employee. A SIMPLE IRA plan is usually found in companies with less
than 100 employees who want to provide an alternative to a qualified
profit sharing plan.
SEP (Simplified
Employee Pension Plan)
A SEP provides employers with a simplified method to make contributions
toward their employees’ retirement and, if self-employed, their
own retirement. Contributions are made directly to an Individual Retirement
Account set up for each employee. An employer may offer a SEP plan
in conjunction with another defined contribution plan. This plan can
be set up by any type of business, including sole proprietorships,
partnerships or corporations with any number of employees.
For more information on a SIMPLE IRA or SEP, call (402) 323-1777,
or toll free (800) 297-2837.
For an IRA comparison
chart, click here.
Annuities
An annuity is a contract between you and an insurance company. The insurance
company guarantees that you will earn a minimum rate of interest. The
money that an annuity earns each year is tax-deferred. A deferred annuity
is an investment that can help you achieve your retirement goals. Once
you’ve accumulated the money needed for retirement you have many
options about when and how to receive your income. Annuities offer one
benefit that is not available with any other type of investment—a
payout that you cannot outlive. Annuity payments can be interest only,
or you can annuitize the contract and receive payments for a certain
period of time, for example, 10 or 20 years, for your lifetime or a
combination of time certain with lifetime income. An annuity offers
you many benefits and options.
For more information on Annuities, please contact our trusted affiliate, Union Agency, Inc at (402) 483-4527 or toll-free at (800) 528-5966.
To learn more
about any of our retirement plans...
Stop In
At any of our bank offices in Nebraska and Kansas. Check our locations page or the yellow pages of your local phone directory.
Call
In Lincoln, (402) 323-1777 or toll free, (800) 297-2837. Or, for the
number of the Union Bank office nearest to you, check our locations page or the
Solutions Center
Get answers to your questions with our online
Solutions Center. Tons of helpful information is at your fingertips!
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