MCU: New York's Credit Union Since 1916

Regardless of how far away you are from retirement, building up your retirement savings is an important part of making sure you are financially prepared for whatever lies ahead. A great way to establish a savings fund for or to supplement your existing 401K plan is opening up an IRA at MCU. IRAs are personal retirement savings plans available to anyone who receives taxable compensation during the year and are a smart way to strengthen the financial foundation upon which you build your retirement.

MCU offers two high-yield IRA accounts for members:

• Traditional IRA: Tax-deferred earning and immediate tax deductions based on qualifying income level.
• Roth IRA: Tax-free withdrawals on money and earnings after qualifying period.

Below is some more in-depth information on Traditional and Roth IRAs to help you decide which savings product is right for you.

	Traditional IRA	Roth IRA
Benefits	Earnings grow tax-deferred until withdrawn. When withdrawn, funds are taxed at your current rate.	Earnings are tax-free if withdrawn after age 59½ when account has been open for 5 years or more. Contributions (not earnings) can be withdrawn tax- and penalty-free at any time.
Who is Eligible	Anyone with earned income who is under age 70½ in the contribution year, regardless of income level.	Any age as long as your adjusted gross income does not exceed the following levels in 2009: • Single tax filers: $120,000 • Joint tax filers: $176,000
Contribution Limit for 2008	If you are under age 50, you can contribute up to $5,000. If you are over age 50, you can contribute an additional $1,000, totaling $6,000.	If you are under age 50, you can contribute up to $5,000. If you are over age 50, you can contribute an additional $1,000, totaling $6,000.
Tax Deductible Contributions?	It depends on your income, and whether you are enrolled in an additional retirement plan.	No, your contribution is not tax deductible; however, qualified withdrawals are tax-free.
Age Limit for Contributions?	YES. The age limit to contribute is age 70½	NO. There is no age limit for contributions.
Are Rollovers and Transfers Permitted?	YES	YES

So, which IRA is right for you? The right IRA for you is dependent on either your need for tax-deductible contributions today (Traditional IRA) or tax-free earnings in the future (Roth IRA). IRA Certificates at MCU offer you the flexibility to choose terms up to 36 months with just a $500 minimum opening deposit. We also offer an 18-Month Variable CD with a minimum opening deposit of $100. Remember, the deadline to invest in an IRA for the 2009 tax year is April 15th, 2010.

MCU is strong, like the members we serve, and MCU IRAs help our members build a strong financial future. Visit your local branch or call 212-693-4900 to learn more about MCU IRAs today!