IN U.M. Loan & Savings Ministry, Inc.
2010
Traditional IRA vs. Roth IRA *Note:
Distribution of principal contributions may be made at any time from
Roth IRAs without penalty.
Traditional
Roth
Maximum Contribution
$5,000 per Person
per Year under 50 ($6,000 - 50 & over)
$5,000 per Person
per Year under 50 ($6,000 - 50 & over)
Income Limitations
None
Singles -
$105,000 -120,000
Married - $167,000 - 177,000
Federal Tax Deductibility
Sometimes
None
Federal Taxation at Distribution
As Regular Income
None if After Age
591/2
and Funds
in IRA More than Five Years*
Federal Taxation on Earnings
Deferred Until
Distribution
None if After Age
591/2
and Funds in IRA More than Five Years
Age 701/2
Rules
Mandatory
Distributions.
No Further Contributions Allowed
None
Contribution Deadline
April 15 of Year
Following Contribution Year
April 15 of Year
Following Contribution Year
Transfers
Directly From Any
Qualified Retirement Plan or IRA - No Taxes or IRS Penalties Due
Directly from any
Roth Qualified Retirement Plan or Roth IRA.
Early Distributions
10% Federal Tax
Penalty for Unqualified Distributions
Distributions of
Principal OK; 10% Federal Tax Penalty for Unqualified Distributions
of Interest
*Note: Traditional, SEP and Simple IRAs can be converted to Roth IRAs if
AGI is under $100,000. Taxes due on pre-tax dollars in year of
conversion.
- Click here for a map to locate us. Follow our Blog Posts at: Loan Fund and Foundation
- Updated 03/25/2010. Questions? Comments? Contact the webmaster at: sboultbee @ niumf. org (remove spaces)
- 1001 N. Western Ave., Suite D, Marion, IN 46952
- Telephone: 765.664.2327 Fax: 765.664.2598 Toll Free: 866.669.2327