Take care of your financial future. Check off items on this list that apply to you.
TAKE YOUR RMDs
If you're age 70½ or older and retired, the IRS typically requires you to take annual withdrawals (or Required Minimum Distributions) from your defined contribution retirement plan – for example, a 401(k) or 403(b) – by December 31. One exception is if you turn 70½ this year; in that case, your first RMD must be taken by April 1, 2020. Either way, if you fail to do so, the IRS may impose an additional tax equal to 50% of the undistributed RMD. For information about your RMD, check with your local Mutual of America Regional Office representative.
SPEND YOUR FLEXIBLE MONEY Unused funds in a Flexible Spending Account generally are forfeited at the end of the year. So, if you set aside pretax money with your employer in an FSA to pay for qualified healthcare expenses, make sure you spend that money by December 31. According to the IRS, under a special rule, employers may offer participating employees more time through either a carryover option or a grace period option. Check with your Benefits department to learn more about your employer's plan.
CHECK OUT THE CREDIT The Saver's Credit is a tax credit of up to $1,000 ($2,000 if married filing jointly) for certain taxpayers who contribute to a Traditional or Roth IRA, 401(k), 403(b), governmental 457 or SIMPLE IRA plan. The credit is equal to 50%, 20% or 10% of your contribution, depending on your adjusted gross income. Check out the Saver's Credit income limits to see if you qualify to claim the credit for 2019.
You should consider the investment objectives, risks, and charges and expenses of the variable annuity contract and the underlying investment funds carefully before investing. This and other information is contained in the contract prospectus or brochure and underlying funds prospectuses and summary prospectuses, which can be obtained by calling 1-800-468-3785 or visiting mutualofamerica.com. Read them carefully before investing.
Mutual of America's group and individual retirement products are variable annuity contracts and are suitable for long-term investing, particularly for retirement savings. The value of a variable annuity contract will fluctuate depending on the performance of the Separate Account investment options you choose. Upon redemption, you could receive more or less than the principal amount invested. A variable annuity contract provides no additional tax-deferred treatment of benefits beyond the treatment provided to any qualified retirement plan or IRA by applicable tax law. You should consider a variable annuity contract's other features before making a decision.