This tax-filing season presents credit unions across the U.S. with
a significant opportunity for growth in Individual Retirement Accounts
(IRA) among members of all ages. Three consecutive years of declining
stock markets, increased annual contribution limits, and roll over
options are making IRAs even more popular as a long-term savings
plan for retirement. Credit unions in particular are uniquely positioned
as a trusted financial partner to help members take advantage of
this important self-managed account.
Contribution Limits Have Increased as much as 75%!
The contribution limits for individuals and for couples have been
raised by 50% in the 2002 tax year. For persons over age 50, the
limits have increased by 75% due to allowed 'catch-up' contributions.
This means that an individual 50 years old can now contribute up
to $3,500 or $7,000 for a couple each year. Contribution limits
are also set to increase even more over the next several years (see