The Details
Tax advantages*:
- Money you earn in this account grows tax deferred—pay taxes on your earnings and pre-tax contributions when you withdraw money from your IRA
- If eligible, contributions may be tax deductible for the year you make them. Contributions must be made by the tax filing deadline without extensions
Eligibility*:
- You must be under age 70 1/2 to contribute to this account. (Trustee requires that the participant be at least 18)
- You must have earned income that is equal to or greater than the amount you contribute
Annual contribution limits*:
- 2007: $4,000
- 2008: $5,000
If you're age 50 or older, you might be able to make "catch-up" contributions—an extra $1,000 for 2007 and $1,000 for 2008.
Withdrawing money at retirement*:
Begin withdrawing money after you reach age 59 1/2 and no later than April 1 of the following year after you turn 70 1/2. You'll need to meet the required minimum distribution (RMD) every year thereafter. (There may be IRS penalties for early withdrawals or for not meeting your RMD amount, unless an exception applies.)
*WaMu Investments, Inc. doesn't provide tax advice. Not all tax advantages may be available to you. For tax-related or eligibility questions, please consult with your qualified tax advisor about your specific situation.
Washington Mutual Bank is the Trustee of Washington Mutual IRAs; certain IRAs are administered on Trustee's behalf by WaMu Investments Services. WaMu Investments, Inc. is an affiliate of Washington Mutual, Inc. and its banking subsidiaries.
Get started
An investment professional can provide information on plans we offer so you can choose a retirement plan that meets your financial needs.
Talk to one of our investment professionals at a WaMu financial center near you for more information. Talk to your qualified tax advisor about your specific situation.
