Save time with our cheat sheets, fact sheets, checklists & books!

March 12, 2016

MyRA

Your Guide

Print

Definition

A my retirement account (myRA), is a type of Roth IRA.

With a few exceptions, the myRA bears features that are identical to a Roth IRA .

Features of a myRA

Features of a myRA include the following:

  • Contributions are limited to the lesser of 100% of eligible compensation, or the IRA contribution limit that is in effect for the year.
  • Qualified distributions myRAs are tax-free and penalty free.
  • Nonqualified distributions are subject to the ordering rule. This ordering rule determines if and how much of a distribution is subject to income tax and or the 10% early distribution penalty.

Source :https://myra.gov


Additional features include the following:

  • There are no fees for opening or maintaining a myRA
  • ·There is no minimum on contribution amounts
  • ·There is no minimum balance to maintain
  • ·Investments are back by the U.S. Treasury
More

Keep Learning

Domestic abuse distribution

A domestic abuse distribution is one that is made to domestic abuse victim, during the 1-year period beginning on any date on which the individual

Eligible retirement plan

The term “eligible retirement plan”, means a retirement plan to which a rollover contribution can be made. These are: (i)an individual retirement account described in

Qualified See-Through Trust beneficiary

Definition A qualified trust beneficiary is a trust that satisfies the requirements so as to be treated as a designated beneficiary.   For retirement accounts inherited

Saver’s Credit

Definition Also known as the Saver’s Tax Credit: Nonrefundable tax credit available to eligible individuals who make contributions to their retirement account. The saver’s credit

Be among the first to know when

IRA Rules
Change