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Traditional IRA



Age Eligibility
 Must be under 70 1/2 at year end.
Income Eligibility
 Your contribution to a Traditional IRA is fully tax deductible if:

You and your spouse, if any, do not participate in your employer-sponsored retirement plan at work.
You do participate in an employer-sponsored retirement plan and your modified adjusted gross income is under $60,000 as a single taxpayer or $80,000 as married taxpayers filing jointly.
You are not covered by an employer's retirement plan, but your spouse is, and your joint modifies adjusted gross income is no more than $150,000.
Spousal IRA Eligibility
 May be opened for a non-working spouse
Annual contribution
 Maximum of 100% of earned income or $5,000 per individual (whichever is less), less any Roth IRA contributions.
Non-working spouses may contribute up to $4,000 to a Spousal IRA.
An additional $500 increments, catch- up amounts (not exceeded $1,000) may be contributed for individual who are at least 50 years old in the year of contribution.

Taxable distribution
 Distributions are taxable except for portions that are the return of non-deductible contributions.

If you make withdrawals before age 59 1/2, there withdrawals may be subject to a 10% federal additional tax and bank penalties may apply for withdrawals from time deposits before maturity.
Required distribution
 Distributions must begin by April 1 of the year after turning age 70 1/2
Tax deductions
 Deductible contributions are subject to MAGI limits if active participation in an employer sponsored retirement plan.
If neither spouse participated in their employer's plan, Contributions are fully deductible regardless of MAGI.
Benefits
 You can benefit if:

You are eligible to make deductible contributions.
You expect to be in a lower tax bracket when withdrawals begin.





** All Fees are automatically deducted from the account and appear on the account statement. Federal Reserve Board Regulation D and Regulation DD limitations apply (please see under the Deposit Agreement and Disclosure and Fee Schedules)



***Pacific International Bank charge no annual IRA custodial or maintenance fees, however, fees and expenses are subject to change. Please note that other fees and expenses may apply, including early withdrawal penalties or withdrawals from IRAs before age 591/2 may be subject to federal tax penalty.



***Pacific International Bank is either tax or legal advisors. It is suggested that you consult your personal tax or legal advisor before making tax or legal related decisions.***

  
FDIC SBA