Just a shout out to all you Baby Boomers out there!
Three important birthdays affect your retirement plan:
- At age 50, you can make extra “catch-up” contributions to your IRA and 401(k) savings. For 2013, these are $1,000 aand $5,500, respectively.
- After age 59-1/2, you’re eligible to make penalty-free withdrawals from your IRAs.
- Beginning no later than the year after you reach age 70-1/2, you’re required to take minimum distributions from your traditional IRAs each year.
Need more details? Contact your tax professional.