UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next
Author: pauleckler Big funky green star, 20000 posts Top Favorite Fools Old School Fool Answer Team Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 78166  
Subject: myRA Date: 1/29/2014 11:56 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 2
President Obama announced a new retirement program called myRA in his State of the Union Address. We are eager to learn the details but from what was on PBS Nightly Business Report tonight here are some preliminaries. (More details are welcome when they become known.)

A Roth IRA like savings program to be available to people who do not have a 401k plan. It's an employer program.

Eligible to participate with income up to $129K single or $191K married.
Can begin program with as little as $25.
Money is invested in the Government Secure Income Fund and govt guaranteed. This fund is currently available only to federal employees.
When account balance reaches $15K it can be rolled over to an IRA (?Roth IRA)
As with the Roth IRA, the money is taxfree when distributions are taken according to the rules in retirement. No information on deductibility of contributions but as with Roth, probably not deductible.

The program is being initiated by executive order and will be a pilot at a few employers initially.

Google search turned up a few articles. Here is one on Money.com--


Same contribution limits as IRAs. $5500/yr or ?$6500/yr over 50 yo.

Money will be in govt bonds earning abt 2% at present. Govt guaranteed, but not much growth potential. Can rollover after 30 yrs if below $15K.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next


The Retire Early Home Page
Discussion on accelerating retirement day.
Post of the Day:
Berkshire Hathaway

How to Improve Wal-Mart
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.