New Years Newsletter 2013.pdf


Preview of PDF document new-years-newsletter-2013.pdf

Page 1 2 3 4 5 6

Text preview


It's January,
and I forgot to
contribute
to my IRA.
Is it too late?
Answer:
No. Generally speaking, the
IRS allows you to make your
IRA contribution for a particular
tax year up until April 15 of the
following year. This rule applies
to both traditional IRAs and
Roth IRAs, giving you some
flexibility in terms of the timing
of your annual IRA contribution.
In 2011 and 2012, you can contribute a total of $5,000 a year
to all the IRAs you own. In addition, if you're age 50 or older,
you can make an extra "catchup" contribution of $1,000 a
year in 2011 and 2012.
Note that you can make your
annual IRA contribution in a
series of payments rather than
in one lump sum. For example,
let's say you want to invest the
maximum amount in your IRA
for 2012. You can either make
a lump-sum contribution of
$5,000, or you can set up a
savings plan whereby you invest a fixed amount each
month in your IRA. Because
you're allowed to spread your
2012 IRA contribution over a
15½-month period (January 1,
2012 through April 15, 2013),
you can invest as little as
$322.58 per month and still end
up contributing the full $5,000.

WHAT’S YOUR
RESOLUTION?
What keeps you up at night?
This time next year, what do you want to have accomplished?
For 2013 we encourage you to make one financial New Years
Resolution. Pick one of our suggestions, or create one of your
own. We are here to support you in getting it accomplished.