Why Establish a Roth IRA?

The Roth IRA is an excellent supplement to an individual’s retirement nest egg. It accrues earnings on a tax-deferred basis, but these earnings amounts are tax free if certain requirements are met. For Roth IRAs, contributions are not tax deductible but qualified distributions are tax free. Contributions to the Roth IRA are discretionary, so individuals can choose when they want to fund their Roth IRA.

 Roth IRA Contributions and Limits

Any individual who has taxable compensation or self-employment income (earned by sole proprietors and partners) for the year may establish and fund a Roth IRA. To be eligible to make a participant contribution, the individual must have a modified adjusted gross income (MAGI) that is less than a certain amount, depending on the tax-filing status of the individual. Here are the base MAGI limits for 2010 and 2011:

  • If you are under age 50 you can contribute $5,000 for 2011
  • If you are age 50 or older, you can make an additional $1,000 contribution each year

Roth IRA MAGI Limits 2011

  • $169,000 for individuals who are married and file a joint tax return
  • $10,000 for individuals who are married, lived with their spouses at anytime during the year, and file a separate tax return
  • $107,000 for individuals who file as single, head of household, or married filing separately and did not live with their spouses at any time during the year

Call us today at 1-800-895-4918 so we can help you make informed decisions on establishing the right IRA account.

Ways to Invest in Roth IRAs

Investment products offered by QCI from TD Ameritrade Institutional

  • Low cost Mutual Funds
  • Stocks, Bonds, ETFs
  • Bank products offered by TD Ameritrade Institutional
  • Money Market IRA
  • Featured CD IRA
  • Alternative Investments
  • Managed Futures
  • Hedge Funds
  • Managed Precious Metals investing
  • Managed Currency investing

 QCI Offers No Fee IRAs

 Annual and custodial fees waived for many of our Roth IRAs. Call us at 1-800-895-4918 to speak with an IRA specialist to set an IRA up free of charge.