FINANCIAL CORNER
By Lily M. Hazelton, CLU, ChFC, CFPR of Brecek & Young Advisors, Inc.

IRA SEASON

Since this is the season of IRAs, I thought the following information might be of interest to some of the readers:

IRA & Roth IRA: Individuals who are eligible may contribute up to $4,000 to IRAs for taxation year 2007 and up to $5,000 for year 2008. Additionally, individuals aged 50 and older may make an additional catch-up contribution of $1,000 for 2007 and $1,000 for 2008.

SEP IRA: For 2007, employers may be able to contribute up to the lesser of $45,000 ($46,000 in 2008) or 25% of compensation to SEP IRAs.

If you are making plans for 2008, here is some additional information for those who are eligible to keep in mind:

SIMPLE IRA: Plan participants may elect to defer as much as $10,500 in 2008. Participants aged 50 and older may defer an additional $2,500 in 2008 for a total of $13,000.

401(k): Plan participants may defer up to $15,500 in 2008. Participants aged 50 and older may make an additional catch-up deferral of $5,000 in 2008 for a total of $20,500.

The information contained herein is not intended as a substitute for direct financial or legal advice. Brecek & Young Advisors, Inc. does not provide tax advice. Please contact a tax or financial professional for further information.