IRA, Individual retirement account, gives you the opportunity to plan your retirement savings combined with quite a few tax benefits. There are two different types of Individual retirement accounts on the basis of the tax deductions for contributions. While tax is calculated for the funds that move to the Roth IRA account, there won’t be any tax deduction at the time of withdrawal. Tax is not applied for the funds transferred to the traditional IRA account, and will be applied to the funds at the time of withdrawal. Your eligibility to several tax benefits concerning the traditional IRA and the chances of qualifying to make a Roth IRA contribution depends upon your modified adjusted gross income (MAGI).
Relatively lower to the conditions in a 401(k), under the age of 50, a contribution limit of $5,500 is observed as of 2016 and 2017. An additional contribution of $1,000 will be allowed for citizens over the age of 50. It is possible to make contributions in both traditional and Roth IRA accounts, however, one should make sure that the combined total contributions is not more than $5,500 and should not exceed $6,500 if you are above 50 years of age. An individual retirement account can be created and funded alongside a retirement plan funded by the employer. However, this factor might show an impact on the tax deductions that apply to traditional IRA contributions. Hence, it is important that you discuss the above option with your tax advisor prior to making a decision.
Withdrawal of funds from these accounts is just as stringent as other retirement accounts like 401(k) where you can expect a 10% penalty along with the normal taxes applied when the funds are withdrawn before the age of 59.5. The only way this penalty is found to be avoided is in the cases of death, certain eligible medical expenses, disability, expenses regarding qualified higher education, along with some other factors. Apart from this, it is not possible for one to avail a loan from the funds deposited in an individual retirement account.
In case you are looking for rollover 401k RA while still employed, it is better to ask for more information from your employer. It is also considered helpful if you research more about 401k transfer Roth IRA before investing in any!
3 providers of home loans with no down payment
Most borrowers wanting to buy a house are always on a lookout for the most-suited mortgage. They look for lenders who offer them the lowest rates of down payments. Although there are lenders who offer mortgages at extremely low down payment requirement, a no down payment home loan is rare to find. Following are the three providers of loans who do not require any down payment:
Department of Veteran Affairs
Qualified veterans, specific members of National Guards and Reserves, as well as duty service members are eligible for a house loan from the Department of Veteran Affairs. Apart from getting a no down payment home loan, the borrower does not need to obtain additional mortgage insurance either. This is covered by the funding fees which is paid by the borrower and further added into the loan amount itself. As a first-time borrower, there is a varying funding fee of 2.15% for veterans or the current members of the military as well as 2.4% for other eligible members of the National Guards and Reserves.
Navy Federal Credit Union
Known to be the largest credit union when it comes to the membership as well as assets, the Navy Federal offers no down payment home loans with 100% financing to primary members. The eligibility, however, is only for specific civilian employees of the military and the Department of Defense, military members as well as the immediate family of those mentioned above. The funding fee of 1.75% of the Navy Federal Credit Union is lesser than that of the Department of Veteran Affairs.
United States Department of Agriculture (USDA)
USDA has grown to be one of the highest lenders of no down payment home loans in the nation. Contrary to what the name suggests, the borrowers are not just associated with farmlands. In fact, you may find your eligibility as well on their website. The only two restrictions are the household income criteria and the geographical limitation. Although it is not a written guideline, experts say that USDA prefers first-time borrowers. However, again, it is not a hard and fast rule, but it is easier for first-time borrowers to procure a loan from USDA.
The eligibility criteria to procure a loan with the first two providers is very limited. However, you may try your luck with USDA while looking for a mortgage with zero down payment.
Baby strollers-A highly useful asset for your little one
The arrival of a baby marks the start of a whole new time and phase in the life of a parent. This is a time when love and affection take a priority even as the logistics of raising a baby into adulthood will become the uppermost concern on everyone’s mind.
There are several products that we tend to invest in, when a new baby is on the way. Starting from clothes to cribs and even baby strollers or prams, there are a number of things that make life easier when you have to handle a baby. It is imperative to invest in the right kind of products because handling the delicate infant is a matter of getting the position, posture and other such details correct so that the child and mother are both comfortable. For this, one will have to look into many details so that the products will actually help in taking care of the child. Here are a few tips on buying the best kind of baby stroller for your baby.
Lightweight and easy to push
One of the main things to remember is that you will need all your strength and both your hands at the same time for your baby. For a while, the new mother will not be able enjoy a hands-free existence unless the baby is sleeping. So, it would be best to invest in a stroller that is lightweight and easy to push rather than a very heavy duty stroller, which will cause discomfort for the mother.
Brakes and other mechanics
There are a number of mechanisms that have to be in place so that the baby stroller is safe to use. You will need to check the brakes and ensure that they work properly and are easy to apply. Also, ask for a demo at the store so that there is no confusion thereafter. Further, you can check for the guarantee or warranty on the stroller and find out what all it covers. Also, the wheels and other aspects should be checked properly. This is especially important so that your toddlers and older children are also safe in case they are walking beside you while you have the baby in the stroller.
Expandable and foldable
The average baby stroller today is one that can be expanded in terms of size and also folded so that you can easily stow the same when you are on the go. Ensure that these mechanisms work properly and check for the location of the levers so that the same is well out of the baby’s reach and grasp.
Try and choose a piece that can later on accommodate a toddler as well so that you do not have to invest in a new baby stroller with the growing years. Do check whether the seat can be pushed upright so that the baby can easily sit up when he or she starts to sit.