Position Yourself for Success - New Retirement Contribution Limits
NEW RETIREMENT CONTRIBUTION LIMITS FOR 2009
Bet your retirement nest egg could use a boost!
Like many of us, we are worried about what the future will bring. Planning is key! More than likely it will be many years before you retire and it is never too late to save. Knowledge is power. It is time to learn how to take care of your money. You need to understand your investments not just hand them over to your financial planner. Only you will take care of yourself the way you want to be taken care of, so know what you where your money is. Below is one way to increase your savings and knowledge.
This year could be a very good year to increase your retirement plan contributions thanks to the IRS's inflation adjustments. Please note the 2009 changes:
1) Employer-sponsored 410K and 403B contribution limits raised from $15,500 to $16,500. Catch-up contributions for individuals age 50 or older increased $500 from $5,000 to $5,500.
2) Simplified Employee Pension (SEP) plans minimum contribution threshold increased from $500 to $550.
3) Savings Incentive Match Plan for Employees (SIMPLE) contribution limits up from $10,500 to $11,500.
4) Contributions allowed for Roth IRA's will phase out for joint filers with incomes exceeding $166,000 (up from $159,000) and $105,000 (up from $101,000) for singles and heads of household. Contributions are not allowed once income reaches $176,000 for joint filers and $120,000 for singles or heads of households (up from $169,000 and $116,000 respectively).
5) For those covered by a retirement plan at work, deductions for contributions to traditional IRA's begin to phase out at $89,000 for joint filers (up from $85,000) and $55,000 for singles or heads of households (up from $53,000). No deductions are allowed once income reaches $109,000 for joint filers and $65,000 for singles or heads of households (up from $105,000 and $63,000 respectively).
For joint filers not covered by a retirement plan at work, but have a spouse who is, the deduction begins to phase out at $166,000 (up from $159,000) with no deduction allowed once income reaches $176,000 (up from $169,000).
I hope you find the information provided helpful. If you have questions or comments please do not hesitate to contact us.
www.MinocquaMortgage.com or marcia@minocquamortgage.com
Bet your retirement nest egg could use a boost!
Like many of us, we are worried about what the future will bring. Planning is key! More than likely it will be many years before you retire and it is never too late to save. Knowledge is power. It is time to learn how to take care of your money. You need to understand your investments not just hand them over to your financial planner. Only you will take care of yourself the way you want to be taken care of, so know what you where your money is. Below is one way to increase your savings and knowledge.
This year could be a very good year to increase your retirement plan contributions thanks to the IRS's inflation adjustments. Please note the 2009 changes:
1) Employer-sponsored 410K and 403B contribution limits raised from $15,500 to $16,500. Catch-up contributions for individuals age 50 or older increased $500 from $5,000 to $5,500.
2) Simplified Employee Pension (SEP) plans minimum contribution threshold increased from $500 to $550.
3) Savings Incentive Match Plan for Employees (SIMPLE) contribution limits up from $10,500 to $11,500.
4) Contributions allowed for Roth IRA's will phase out for joint filers with incomes exceeding $166,000 (up from $159,000) and $105,000 (up from $101,000) for singles and heads of household. Contributions are not allowed once income reaches $176,000 for joint filers and $120,000 for singles or heads of households (up from $169,000 and $116,000 respectively).
5) For those covered by a retirement plan at work, deductions for contributions to traditional IRA's begin to phase out at $89,000 for joint filers (up from $85,000) and $55,000 for singles or heads of households (up from $53,000). No deductions are allowed once income reaches $109,000 for joint filers and $65,000 for singles or heads of households (up from $105,000 and $63,000 respectively).
For joint filers not covered by a retirement plan at work, but have a spouse who is, the deduction begins to phase out at $166,000 (up from $159,000) with no deduction allowed once income reaches $176,000 (up from $169,000).
I hope you find the information provided helpful. If you have questions or comments please do not hesitate to contact us.
www.MinocquaMortgage.com or marcia@minocquamortgage.com
Posted by Minocqua Mortgage Blog at 3/27/2009 9:26 AM 
Categories: uncategorized
Tags: Knowledge is power
Categories: uncategorized
Tags: Knowledge is power
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