Volume 2, Issue 27

Posted on 12/24/2014

New Law Renews IRA Transfers to Charity for 2014; Owners Must Act by Dec. 31
The Tax Increase Prevention Act extends the provision that allows certain IRA owners to make tax free distributions to charity. The extension applies for the 2014 tax year. This means if the law applies to you, the deadline to complete your transactions is Dec. 31. Here are some key points about the extension. 
  • If you are an IRA owner age 70½ or older you have until Dec. 31 to make a qualified charitable distribution, or QCD.  
  • A QCD is direct transfer of part or all of your IRA distributions to an eligible charity. You may transfer up to $100,000 per year. 
  • You may exclude the distributed amounts from your income. You can claim this benefit regardless of whether you itemize your deductions. If you do exclude the QCD from your income, you can't also deduct it as a charitable contribution on Schedule A if you do itemize. 
  • You can count your QCDs in determining whether you meet the IRA's required minimum distribution
  • The provision had expired at the end of 2013. The new law is retroactive for 2014. This means any eligible QCD in 2014 will qualify. 
  • Not all charities are eligible. For example, donor-advised funds and supporting organizations are not eligible recipients.
For more information, click here. 

 

IRS Amends Safe Harbor Explanations for Rollover Notices

IRS has issued Notice 2014-74 that amends the two safe harbor explanations in Notice 2009-68, 2009-2 C.B. 423, that can be used to satisfy the requirement under § 402(f) of the Internal Revenue Code ("Code") that certain information be provided to recipients of eligible rollover distributions. Amendments to the safe harbor explanations reflected in this notice relate to the allocation of pre-tax and after-tax amounts, distributions in the form of in-plan Roth rollovers, and certain other clarifications to the two safe harbor explanations. The amendments to the safe harbor explanations may be used for plans that apply the guidance in section III of Notice 2014-54, 2014-41 I.R.B. 670, with respect to the allocation of pretax and after-tax amounts. For more  information or to read the notice in its entirety, click here

Volume 2, Issue 26

Posted on 12/10/2014

FFIEC BSA/AML Examination Manual Update

On November 26, 2014, the Federal Financial Institutions Examination Council (FFIEC) released the revised Bank Secrecy Act/Anti-Money Laundering (BSA/AML) Examination Manual. The revised manual reflects the ongoing commitment of the federal and state banking agencies to provide current and consistent guidance on risk-based policies and procedures for institutions supervised by the Office of the Comptroller of the Currency (OCC) to comply with the BSA and safeguard operations from money laundering and terrorist financing. Banking organizations should familiarize themselves with these revisions and make the necessary updates to their BSA compliance programs.

 

Debbie Crawford will host a webinar on December 19. What's new and what's not will be covered in this webinar. With this webinar, you will receive a highlighted version of the FFIEC BSA/AML Manual with all the changes highlighted. This is a webinar that you will not want to miss. For more information or to register, click here

 

IRS Amends Safe Harbor Explanations for Rollover Notices

IRS has issued Notice 2014-74 that amends the two safe harbor explanations in Notice 2009-68, 2009-2 C.B. 423, that can be used to satisfy the requirement under § 402(f) of the Internal Revenue Code ("Code") that certain information be provided to recipients of eligible rollover distributions. Amendments to the safe harbor explanations reflected in this notice relate to the allocation of pre-tax and after-tax amounts, distributions in the form of in-plan Roth rollovers, and certain other clarifications to the two safe harbor explanations. The amendments to the safe harbor explanations may be used for plans that apply the guidance in section III of Notice 2014-54, 2014-41 I.R.B. 670, with respect to the allocation of pretax and after-tax amounts. For more  information or to read the notice in its entirety, click here


IRA Year-End Wrap-Up and Review on December 17

Join Debbie Crawford on December 17th and learn what is new and changed in IRAs. This webinar will include a review of products and compliance issues, including any reporting changes for 2014. As an added bonus, registrants will receive the electronic version of the IRA Handbook. This is a webinar that you will not want to miss! For more information or to register, click here

Direct Deposit Limits for Tax Refunds

In an effort to combat fraud and identity theft, new IRS procedures effective January 2015 will limit the number of refunds electronically deposited into a single financial account or pre-paid debit card to three. For more information, click here.  

 

Bankers eCampus Webinar CD Sale!

We have many webinars in our Webinar Catalog that are available for purchase. These webinars on CD are an excellent and cost-effective way to build your training library. Now through December 31st, use the discount code YEAREND14 and receive a 10% discount on any purchase from our webinar library. For more information or to view the catalog, click here.

 

2015 BSA Officer Training Series

The 2015 BSA Officer Training Series is now available to purchase online! Purchase all 13 webinars of the BSA Officer Training Series for only $1950. Bonus! When you purchase the entire series, you will also receive the "Making a Training Plan for BSA" Webinar at no additional cost! This is a cost savings of 23%! Taught by Debbbie Crawford, this series can be used as a guide to get the most complete training and education experience on important BSA topics.

For more information or to purchaseclick here

Volume 2, Issue 25

Posted on 12/3/2014

IRS 2015 Pension Plan Limitations

The Internal Revenue Service has announced cost of living adjustments affecting dollar limitations for pension plans and other retirement-related items for tax year 2015.  Many of the pension plan limitations will change for 2015 because the increase in the cost-of-living index met the statutory thresholds that trigger their adjustment.  However, other limitations will remain unchanged because the increase in the index did not meet the statutory thresholds that trigger their adjustment.  Highlights include the following: 

  • The elective deferral (contribution) limit for employees who participate in 401(k), 403(b), most 457 plans, and the federal government's Thrift Savings Plan is increased from $17,500 to $18,000.
  • The catch-up contribution limit for employees aged 50 and over who participate in 401(k), 403(b), most 457 plans, and the federal government's Thrift Savings Plan is increased from $5,500 to $6,000.
  • The limit on annual contributions to an Individual Retirement Arrangement (IRA) remains unchanged at $5,500.  The additional catch-up contribution limit for individuals aged 50 and over is not subject to an annual cost-of-living adjustment and remains $1,000.
  • The deduction for taxpayers making contributions to a traditional IRA is phased out for singles and heads of household who are covered by a workplace retirement plan and have modified adjusted gross incomes (AGI) between $61,000 and $71,000, up from $60,000 and $70,000 in 2014.  For married couples filing jointly, in which the spouse who makes the IRA contribution is covered by a workplace retirement plan, the income phase-out range is $98,000 to $118,000, up from $96,000 to $116,000.  For an IRA contributor who is not covered by a workplace retirement plan and is married to someone who is covered, the deduction is phased out if the couple's income is between $183,000 and $193,000, up from $181,000 and $191,000.  For a married individual filing a separate return who is covered by a workplace retirement plan, the phase-out range is not subject to an annual cost-of-living adjustment and remains $0 to $10,000.
  • The AGI phase-out range for taxpayers making contributions to a Roth IRA is $183,000 to $193,000 for married couples filing jointly, up from $181,000 to $191,000 in 2014.  For singles and heads of household, the income phase-out range is $116,000 to $131,000, up from $114,000 to $129,000.  For a married individual filing a separate return, the phase-out range is not subject to an annual cost-of-living adjustment and remains $0 to $10,000.
  • The AGI limit for the saver's credit (also known as the retirement savings contribution credit) for low- and moderate-income workers is $61,000 for married couples filing jointly, up from $60,000 in 2014; $45,750 for heads of household, up from $45,000; and $30,500 for married individuals filing separately and for singles, up from $30,000.
 
IRA Year-End Wrap-Up and Review on December 17

Join Debbie Crawford on December 17th and learn what is new and changed in IRAs. This webinar will include a review of products and compliance issues, including any reporting changes for 2014. As an added bonus, registrants will receive the electronic version of the IRA Handbook. This is a webinar that you will not want to miss! For more information or to register, click here

Direct Deposit Limits for Tax Refunds

In an effort to combat fraud and identity theft, new IRS procedures effective January 2015 will limit the number of refunds electronically deposited into a single financial account or pre-paid debit card to three. For more information, click here.  

 

Bankers eCampus Webinar CD Sale!

We have many webinars in our Webinar Catalog that are available for purchase. These webinars on CD are an excellent and cost-effective way to build your training library. Now through December 31st, use the discount code YEAREND14 and receive a 10% discount on any purchase from our webinar library. For more information or to view the catalog, click here.

 

2015 BSA Officer Training Series

The 2015 BSA Officer Training Series is now available to purchase online! Purchase all 13 webinars of the BSA Officer Training Series for only $1950. Bonus! When you purchase the entire series, you will also receive the "Making a Training Plan for BSA" Webinar at no additional cost! This is a cost savings of 23%! Taught by Deborah Crawford, this series can be used as a guide to get the most complete training and education experience on important BSA Topics.

For more information or to purchase, click here

Do you have a question or topic that you would like to see addressed in our monthly newsletter? If so, email us and let us know. Send questions and/or topic suggestions to info@bankersecampus.com.