The amount of income that determines how much of an individual's IRA contribution is deductible. It is found by taking the individual's adjusted gross income and adding back certain items such as foreign income, foreign-housing deductions, student-loan deductions, IRA-contribution deductions and deductions for higher-education costs.
An option for employers to offer their employees who want to save toward their retirement. There usually is no matching on the part of the employer.
A type of retirement plan, usually tax exempt, wherein an employer makes contributions toward a pool of funds set aside for an employee's future benefit. The pool of funds is then invested on the employee's behalf, allowing the employee to receive benefits upon retirement.
A collection of investments all owned by the same individual or organization.
A product offered by financial institutions in which you get special discounts and incentives if you have several accounts with the same bank. Generally, a checking account is the anchor account.
A tax-deferred retirement account where the contributions are not tax deductible. There is also no tax on the withdrawals as long as the taxpayer is over 59 � and the account has been open for five years.
An interest rate that may fluctuate during the term of the deposit account. Sometimes the rate changes based on changes in an index rate, such as the prime rate or other prescribed criteria. Sometimes the bank changes the rate at its discretion or internal indices.