Newsletter Article / Blog Post
For use in communications with tax filers
Put your tax refund to work for you
Invest in your future with myRA
This tax season, kick start your savings with myRA®, a starter retirement savings account created by the U.S. Department of the Treasury that’s designed especially for those who don’t have access to retirement savings plans at work. Simply open a myRA account and direct all or part of your tax refund to it. It’s a smart, easy way to put this one-time payment to work for your future. Sign up today at myRA.gov/tax.
What is myRA?
myRA was created by the U.S. Treasury to make saving simple, safe, and affordable1:
- It costs nothing to open an account, and there are no fees.
- There are no minimum balance or contribution requirements.
- There is no risk of losing money, and accounts safely earn interest.
- It takes only minutes to sign up at myRA.gov/tax or by calling 855-406-6972.
- You can direct all or part of your tax refund to your myRA account.
- Save up to $5,500 ($6,500 if 50 or older) annually in all of your Roth and traditional IRA accounts.
- Because your contributions are made after-tax, you can take out what you put in, if you need it, without tax or penalty.
- Transfer or roll over your money to a private sector Roth IRA at any time. Account balances should be transferred to a private sector Roth IRA when they reach $15,000, or after 30 years.
- Income limits apply. You can contribute to a Roth IRA if in 2016 you earned below $132,000 ($133,000 for 2017) if single, and $194,000 ($196,000 for 2017) if married filing jointly.
Save More, Pay Less on Your Taxes
Money you contribute to your myRA might qualify you for the Saver’s Tax Credit, which could help lower your taxes or increase your refund next year. Ask a tax preparer if you are eligible to claim this credit. Learn more at myRA.gov/roth-ira.
Even More Reasons to Save
The SaveYourRefund campaign is back! Offered by Commonwealth and America Saves, the SaveYourRefund campaign provides fun and exciting incentives for Americans to save at tax time. By splitting and saving portions of their refunds, SaveYourRefund entrants have a chance to win one of 100 cash prizes and enter a photo contest to win the $25,000 grand prize. And it’s all to motivate Americans to save for their futures. Learn more at myRA.gov/tax.
It’s Easy to Get Started
Open an account today at myRA.gov/tax or by calling 855-406-6972. It only takes a few minutes. In addition to saving with a tax refund, you can set up automatic payments so that you can continue saving throughout the year. Once you open an account, note your account and routing numbers. You’ll need them when you file your taxes in order to direct your refund to your myRA.
Don’t wait. Visit myRA.gov/tax or call 855-406-6972 to open an account today!
1Accounts earn interest at the same rate as investments in the Government Securities Fund, which returned 2.04 percent in 2015 and had an average annual return of 2.94 percent over the ten-year period ending December 2015.
2Annual and lifetime contribution limits and annual earned income limits apply, as do conditions for tax-free withdrawal of interest. To learn about key features of a Roth IRA and for other requirements and details, visit myRA.gov/roth-ira.