IRAs

Parameters 

• Ascensus is our IRA service provider.
• We offer three types of IRAs — Traditional, Roth, Coverdell.
• Portico Suffix — varies based on IRA.
• Certain requirements/restrictions
  • There are age requirements for withdrawals.
  • Must have earned income to contribute.
  • Some have tax benefits.
  • Limits to how much you can deposit; can change annually.
    • The IRA contribution limits for 2024 are $7,000 for those under age 50, and $8,000 for those age 50 or older (called catch-up contributions).
  • An individual or married couple’s income may have an impact on their ability to make regular contributions.
• IRA season is traditionally Jan-April
  • Certain tax payers can make contributions to their IRAs and reduce their prior-year taxable income. 
  • We do not give tax advice, so members need to consult their tax professional.

Traditional

• Long-term investment account designed to help members save for retirement.
• Portico Suffix — 81-84; if member chooses to invest in a Certificate, it will have a 60 suffix.
• Taxed when funds are withdrawn (as part of taxable income).

Roth 

• Long-term investment account designed to help members save for retirement.
• Portico Suffix — 88-89; if member chooses to invest in a Certificate, it will have a 61 suffix.
• Taxed when the contribution is made.

Coverdell

• Help people save for a child’s educational expenses; 
• Portico Suffix — 86; if member chooses to invest in a Certificate, it will have a 62 suffix.
• Must be opened in the child’s name; child must be a member.
• Parent/guardian must control account until child is 18 years old.
• Anyone may contribute to the child’s Coverdell until the child turns 18.
• The total contribution to all accounts on behalf of a beneficiary in any year can’t exceed $2,000.
• Taxed when funds are withdrawn (as part of taxable income).
• If the child does not use the money:
  • Before the child turns 30, any unused balance can be transferred to another eligible family member.
  • We’ll disburse the funds to the child when they turn 30.

Cross Sell 

• Talking Points/Benefits
  • No minimum opening deposit required.
  • Fixed dividend rates.
  • No administration fees.
  • Competitive Annual Percentage Yields (APY), especially when they invest in an IRA Share Certificate.
  • Guaranteed return on their investment.
  • Earn the higher rate for the entire term of the investment, even if rates drop.
  • Because we’re local, it’s easy to make required withdrawals — they’ll speak with a real person. 
  • Potential tax advantages; refer them to their tax advisor.
  • Federally insured by NCUA.
• Referrals — assign to Member Services at applicable branch

Contact Manager

• ADR | Address Update — copy Brenda
• COV | Converted Accounts — copy Brenda
• DED | Deceased Member — copy Brenda
• NME | Name Change — copy Brenda
   

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