Finding Smarter Ways To Save by John Addison (NAPSA)—Forthefirst time in a long time, Americans are saving more and spending less—and many economists expect this trend to continue well into the future. But how can you make those extra savings pay off? Consider a Roth IRA. Labeled by Kiplinger’s Personal Finance maga- zine as “Best allaround retirement account,” today’s Roth IRAis loaded with benefits to help rebuild—or start free at any time. Of course, you hope you never have to withdraw funds early—since doing so means giving up their future earnings— but should an emergency arise, that money will be available. Contribute More In 2009, you can contribute up to $5,000 into your Roth plus an additional $1,000 if you are 50 or older. This is subject to income limits, however. few reasons to make the Roth your go-to account: Tax-Free Growth Consider Converting Since growth in a Roth IRA may be tax-free, you might consider converting a Traditional IRA to a Roth. Easy Funding You can add extra funding to a Roth IRA in a few simple ways. If you receive a tax refund, you might invest all or part of it in a Roth IRA can help you rebuild any increase your IRA accordingly. But while, younger savers stand to gain even more, because they have ment account—Roth IRA or otherwise—as you would any other monthly bill. Pay into it regularly. Addison building—your nest egg. Here are just a For older savers, this means an losses to your nest egg. Meanmore time to invest their savings andlet them grow tax-free. Tax-Free Withdrawals If yow’re older than 59% and have had your account for at least five years, your contributions and earnings can be withdrawn taxfree. That makes the Roth a great choice for long-term savers. Access Earnings If need be, you can tap your earnings early—to pay for college or buy a home. Penalty-Free You can withdraw your contributions—but not any earnings—to a Roth IRA tax-free and penalty- each year. Or, if you receive a raise, most importantly, treat your retire- Learn More Financial professionals at Primerica have created a guide that can show how to take control of your financiallife. To get a copy of “How Money Works,” write to Primerica, 3120 Breckinridge Blvd., Duluth, GA 30099, ATTN: Corporate Relations, or call (770) 564-6329. Securities offered by PFS Investments, Inc., 3120 Breckinridge Blvd., Duluth, GA 30099. For more information, visit www.primerica.com. John Addison is co-CEO of Primerica.
