Individual Retirement Accounts

Enjoy a Comfortable Retirement

Plan now to enjoy a comfortable retirement with a Credit Union of Georgia Individual Retirement Account (IRA). If you earn a paycheck, you may be eligible to invest up to $4,000 a year (or $4,500 a year for tax year 2005 and $5,000 a year for tax year 2006 if you are 50 years or older) in an IRA. Consult your tax advisor regarding your eligibility. An IRA is flexible. You decide how and when to make contributions. You might decide to contribute a small amount each month, or to contribute a single lump sum once a year. And you do not need to contribute each year to maintain your IRA.

You also have flexibility in designating your contribution to the current or preceding year. Contributions for the preceding year can be made until April 15 (the deadline for filing federal income taxes) of the following year.

Consider the reasons that an IRA should be an important part of your financial planning:

• Traditional, Roth, and Educational IRAs available

• Perfect supplement to other sources of retirement income

• Flexible and convenient contributions through payroll deductions

• Tax-deferred dividend earnings for every IRA owner

• Contributions may still provide immediate tax benefits

• Attractive dividend rates, with a premium rate for deposits of $10,000 or more in any one type of Share Certificate

• Dividends paid monthly on the average daily balance

• Funds insured separately by NCUA are insure to at least $250,000

• Share Certificates with fixed rates and a variety of terms ranging from 3 and 6-months to 1, 2 and 3-years

Even if your IRA contributions are not tax deductible, the earnings on your IRA are tax-deferred. This tax-deferred benefit combined with the compounding of your IRA contributions will result in additional earnings for your retirement years.

Credit Union of Georgia provides multiple options for establishing and diversifying your retirement portfolio. Select from one or both of the following IRA options:

Rollover your 401K or 403B
We can assist you with the direct transfer of qualified retirement funds to a new or existing IRA at Credit Union of Georgia. Consider the advantages of a direct rollover:

• Protects retirement money from immediate taxation as income

• Earns tax-deferred dividends

• Avoids the mandatory 20% federal withholding on all eligible rollover distributions from qualified retirement plans

Saves an additional 10% tax imposed on early withdrawals of retirement savings.