IRA Contributions and Distributions: Good Things to Know

posted 1/24/2011 in General

With tax season upon us and New Years resolutions still fresh in our minds, it's a good time to think about our IRA accounts. Here are some things that may be important for your 2010/2011 tax and retirement savings planning:

Max out your contributions! Traditional and Roth IRA contribution limits are the same for 2011 as they were for 2010:

  • Those under age 50 can contribute up to $5,000 in 2011
  • Those age 50 and over can contribute up to $6,000 in 2011

One of the provisions of the new tax bill is the extension of the Qualified Charitable Distributions. Here are some of the guidelines for Qualified Charitable Distributions:

  • Distributions from Traditional IRAs
  • Must be age 70 1/2
  • Distributions up to $100,000 can be made tax free to a charitable donation:
    • $100,000 for 2010
    • $100,000 for 2011
  • If done before February 1, 2011, it can be applied to the 2010 tax year.
  • Checks must be written directly to the charity
  • Required minimum distributions for 2011 can be sent to the charity

Contact your local IRA specialist for more information. LSB's Personal Financial Advisors can help with your retirement questions.


This information is being provided by Lincoln Savings Bank (LSB) / LSB Financial, an Iowa-based institution devoted to providing complete financial services since 1902.
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