MEMBERSHIP NEWSLETTER Roth IRAs are typically thought of as being most beneficial for younger people. While that may be true, can converting traditional IRA or 401(k) (pre-tax) assets to Roth (after tax) assets make sense for retirees? Absolutely! However, we have clients say, “Why would I pay taxes on my IRA money before I have to?” Here are a few situations that provide advantages to paying the taxes now.

• Low Income Tax Rates – The Tax Cuts and Jobs Act that took effect in 2018 reduced income tax rates to near historic lows. These rates will revert higher after 2025, if not sooner.

• No RMDs – Roth IRAs do not have Required Minimum Distributions (RMDs) at age 70 ½ like traditional IRAs. For those not needing income from their IRAs, the RMD could put you in a higher tax bracket.

• Your Spouse Dies – Changing from “married filing jointly” to “single” tax filing can result in a big tax increase if the survivor’s income needs are not reduced significantly. If the surviving spouse inherits the deceased spouse’s IRA, they will have RMDs for the combined IRA assets which could keep them in a higher bracket whether they need the income or not.

• Leaving a Legacy – If you are planning on leaving IRA assets to your heirs, you should consider your tax situation versus theirs. If your heirs are in a higher tax bracket, or you’re confident they will be in the future, paying the tax now would keep more of your wealth in the family.

• The Secure Act Bill – A proposed Bill that has passed the House Ways and Means Committee would potentially eliminate Stretch IRAs. This is the ability to leave IRA assets to your heirs and have them take RMDs for the rest of their lives. This Bill would mandate that all inherited IRA assets would have to be distributed (and taxed) within 10 years of the original owner’s death.

As economic conditions and laws change, your personal financial strategies should change to put you and your family in the best situation possible. Cinfed’s Financial Planning Advisors take a proactive approach to improving our members’ financial futures. Contact them today to schedule a no-cost consultation, and start improving your family’s future.

Cincinnati BranchesBrian Bushman513-333-3901bbushman@gosaxon.com

Northern Kentucky BranchesKevin Hagerty513-333-3886 khagerty@gosaxon.com

By the time you read this, 2019 will be over and 2020 will have begun! We will be in the process of closing the books on a very successful 2019 and gearing up for another prosperous year. Thanks to the support of our members, our Consumer and Commercial Lending departments, as well as our Mortgage Department, our credit union is poised to set new records as our total assets, deposits and membership numbers continue to increase.

We are looking to cross a significant milestone early in 2020: exceeding $500 million in total assets. It’s an important number because it represents the depth and breadth of resources available to you – as well as our ability to continue providing high quality products and services. Most importantly, it represents the collective confidence of members like you, who continue to work with us to build your financial strength, your credit union and your community.

Our single greatest source of new members is…you! That’s right – member referrals are

far and away the biggest source of new members for our cooperative

organization. For Cinfed to continue getting stronger,

we need to keep our family growing. Be sure

to share the good news about Cinfed with your family, friends, neighbors and coworkers. Like you, they will see the benefits of Cinfed membership in 2020 – and beyond!

Securities offered through Registered Representatives of Cambridge Investment Research, Inc., a broker-dealer, member FINRA/SIPC. Advisory services offered through Cambridge Investment Research Advisors, Inc., a Registered Investment Adviser. Cambridge, Saxon and Cinfed Credit Union are not affiliated. Investments are not NCUA insured, not credit union guaranteed, and may lose value.

Tax planning: Roth conversion benefits

Mark your calendar for our upcoming Skill Sessions. These 60-minute conversations address real-world issues, challenges and possibilities you face, and are hosted by our Financial Possibilities Team*. Our experts have prepared a helpful session filled with insights and key strategies to make your life easier and help you create your own “Remarkable Possibilities.”

Getting familiar with Cinfed Online Wednesday, January 15th, 20206:00-7:00pm Cinfed Oakley Branch• Learn how to optimize your use

of Cinfed’s Digital Resources/ Your Online Accounts

SAXON U: Retirement income planning by Saxon Financial Tuesday, January 28th, Tuesday February 11th and Thursday, February 27th, 20206:00-7:00pm Cinfed Florence Branch• Strategies for Developing a

Reliable Retirement Income

Cutting college costs before hitting campus Wednesday, January 29th, 20206:00-7:00pm Cinfed Oakley Branch• Smart strategies can help you cut

college costs – and find solutions for paying the balance.

Preparing for your Mortgage Loan Wednesday, February 19th, 20206:00-7:00pm Cinfed Oakley Branch• Our mortgage lending director will

cover topics to help prepare for a mortgage loan — whether you’re purchasing or refinancing.

RSVP at cinfed.com/skillsession*These events are for educational purposes only. No plan-specific information will be shared.

Check out our Skill Sessions

MEMBERSHIP NEWSLETTER commonwealth

January 2020 Volume 42 No. 1

Remarkable possibilities. Federally insured by NCUA

Lowering the rate on your auto loan puts more money in your pocket every month!

Through March 31, Cinfed will beat your current rate when you refinance your auto loan – with rates as low as 2.74% APR! If we can’t beat it, we’ll match it and give you a $100 gas card!*

Buying a car or truck? You’ll receive a .50% APR* discount on your approved rate.

*APR = Annual Percentage Rate is based on credit history, vehicle year and term of loan. Proof of current rate required. Not applicable to current loans with Cinfed. Rate discount floor limit is 2.74% APR. Subject to credit approval. Offer expires March 31, 2020.

Go lower, do bet ter! Reduce your auto rate and save!

SUCCESSFULmembers

the futureand building for

A message from Cinfed’s CEO, Jay Sigler

Cinfed in the community

Do you know a current or future college student who could benefit from a scholarship? This year Cinfed will be awarding $2,500 scholarships to six students for the 2020-2021 school year.

Scholarship Eligibility:• Primary Cinfed Member in

good standing• 2.5+ Cumulative GPA• Student entering in to or

currently enrolled in an undergraduate program

It’s so easy to apply! Visit cinfed.com/scholarship to apply online or stop by any Cinfed branch location for a printed application. You can view all scholarship requirements on our website. Application deadline is April 1st!

Tax time doesn’t have to be stressful! With TurboTax, you’ll get your biggest possible refund fast and your taxes done right. Plus, Cinfed members save up to $15 on TurboTax federal products, all through tax season. TurboTax makes it easy to find the best solution for your unique tax situation. Simple filer? Homeowner? Independent contractor, freelancer or side-gigger? TurboTax has a product that is right for you.

File with confidence, knowing that TurboTax guarantees 100% accurate calculations and runs thousands of error checks as you go. And if you need help, TurboTax has it: from answers online anytime, to unlimited advice and a final review from a CPA or Enrolled Agent with TurboTax Live.

Save on TurboTax today! Try it for free and pay only when you’re ready to file. Visit cinfed.com/promotions.

Visit http://turbotax.intuit.com/lp/yoy/guarantees.jsp for TurboTax product guarantees and other important information. Limited time offer for TurboTax 2019. Discount applies to TurboTax federal products only. Terms, conditions, features, availability, pricing, fees, service and support options subject to change without notice. Intuit, TurboTax and TurboTax Online, among others, are registered trademarks and/or service marks of Intuit Inc. in the United States and other countries.

Now accepting college scholarship applications

Anniversary celebrations – a year of giveaways

We celebrated our 85th Anniversary in several ways this year, beginning with an official proclamation from the mayor of Cincinnati declaring June 5th as “Cinfed Credit Union Day.” We hosted Free Food Fridays at all of our branches, offering boxed lunches for branch visitors — both members and non-members! Coach Fin also made a few surprise appearances at gas stations around the tri-state, handing out cash and gas cards to early-morning commuters. These celebrations were just a small token of our appreciation for our community!

Holiday hours

Cinfed will be closed in observance of the following holidays: Martin Luther King Jr. DayMonday, January 20

President’s DayMonday, February 17

Applications for Board of Directors

Take advantage of special savings on TurboTax®

The Nominating Committee received applications from two individuals to fill the open positions on Cinfed’s Board of Directors. The Nominating Committee accepted all applicants. Therefore, the Secretary of Cinfed Credit Union announced the following persons have been named as candidates in the election for Cinfed’s Board of Directors:

• Kent E. Marcum, Incumbent • Frank C. Monfeli

A petition signed by 300 Cinfed members may also be submitted to nominate additional candidates. Nominations by petition will be accepted until Friday, February 14, 2020. For more information regarding nominations by petition, please contact Noreene Morgan at 513-333-3882.

Ballots for the 2020 election will be mailed in April 2020. Winning candidates will be introduced at Cinfed’s 86th Annual Meeting to be held on Tuesday, June 2, 2020, at the Cinfed Oakley Branch, 4801 Kennedy Avenue, Cincinnati, OH 45209.

Lending revitalizes the West EndCinfed continues to partner with developers and investors for the economic revitalization of the West End. Our most recent financing project funded the restoration of the historic Fire Company 13 Station, which is being converted into a new office and retail space.