Share Rates
Share rates effective as of September 8, 2010
Rates subject to change based on earnings and declared by the Board of Directors at quarter end

Regular Share Accounts (Inc. Trust, Vacation, Organizations)

Balance	Rate	APY*
$25.00 - $25,000.00	0.20	0.20
$25,000.01+	0.50	0.50

Money Market Account

Balance	Rate	APY*
$2,500- $25,000.00	0.50%	0.50%
$25,000.01+	0.75%	0.75%

Additional Share Accounts

Share / Savings	Rate	APY*
Holiday Club Account	.75%	.75%
IRA $0- $25,000.00 (01/10/10 to 06/30/10)	1.25%	1.25%
IRA $25,000.01+ (01/10/10 to 06/30/10)	1.50%	1.50%
Summer Living Account	0.85%	0.85%

* Annual Percentage Yield

Share Certificate Rates
Share certificate rates effective September 8, 2010

$500 Minimum

Term	APY*
6 Months	0.70%
12 Months	0.80%

$50,000 Minimum

Term	APY*
6 Months	0.80%
12 Months	0.90%

* Annual Percentage Yield

IRA Comparison
The Gates Chili Federal Credit Union offers three different IRA types -- Roth, Traditional and Education IRAs. Information on each IRA type can be found on this site. Our IRA professionals at the Gates Chili Federal Credit Union are happy to answer your questions. Call us today at (585) 247-1090.

This information is not intended as tax advice. Please contact a tax professional.

Who can contribute?
Anyone who has income from compensation with the following modified adjusted gross income (MAGI):
For 2009: Up to $105,000 for single filers and up to $166,000 for joint filers.
For 2010: Up to $105,000 for single filers and up to $167,000 for joint filers.

Reduced contributions are allowed for higher incomes:
For 2009: Up to $120,000 for single filers and $176,000 for joint filers
For 2010: Up to $120,000 for single filers and up to $177,000 for joint filers.

How much can I contribute?
You can contribute up to $5,000. If you are age 50 or older, your limit increases to $6,000. However, you can't contribute more than you make per year. Your contributions to your Roth IRA will reduce the contributions that can be made to traditional IRAs, if you have them.

Are contributions tax deductible?
No, contributions cannot be deducted.

What are the tax advantages?
The earnings (ie. Interest) you make are tax-free if the account is open for five tax years and withdrawn for a qualified reason (age 59.5, disability, death or a first-time home purchase*). You are not required to start withdrawals at age 70.5.

When can I withdraw without restrictions?
Regular contributions can be withdrawn tax and penalty free at any time. After the account has been open five tax years, earnings ca be withdrawn tax and penalty free for any of these reasons: age 59.5, disability, death or a first-time home purchase*.

*  Lifetime limit for exemption on first-time home purchase is $10,000

Who can contribute?
Anyone under the age of 70.5 who has income from compensation or who is filing jointly with a spouse who earns compensation. Also, anyone who has received a distribution from a qualified retirement plan and decides to roll over the proceeds of the plan into an IRA.

How much can I contribute?
You can contribute up to $5,000. If you are age 50 or over, your limits increase to $6,000. Your contributions cannot exceed your compensation. Any contributions made to your traditional IRA will reduce the contributions that can be made to your Roth IRAs.

Who can make deductible contributions?
Your contributions are fully deductible if you fall into any of the categories below:

• Single individual not active in employer retirement plans
• Single individuals active in employer retirement plans with modified adjusted gross income of less than $55,000 for 2009 and $56,000 for 2010.
• Married couples with neither spouse active in an employer retirement plan
• Married individuals active in employer retirement plans with joint tax returns showing joint modified adjusted gross income of less than $89,000 for 2009 and $89,000 for 2010.
• Married individuals not active in employer retirement plan with spouses who are, as long as modified adjusted gross income is less than $166,000 for 2009 and $167,000 for 2010.

What are the tax advantages?
Earnings grow tax-deferred until you withdraw them. Contributions may be tax-deductible.

When can I withdraw without restrictions?
Withdraw penalty-free for any of the following reasons:

• Qualified higher-education expenses
• First-time home purchase*
• Age 59.5
• Disability
• Qualifying medical expenses exceeding 7.5% of adjusted gross income
• Payment to beneficiaries upon the owner's death
• Payment of health insurance premiums while unemployed for 12 weeks or longer

*  Lifetime limit for exemption on first-time home purchase is $10,000

Who can contribute?
Anyone who has a modified adjusted gross income (MAGI). Some people with higher MAGI may be able to make smaller contributions. Contributions are not allowed after the beneficiary reaches age 18 (except for special needs beneficiaries).

How much can I contribute?
You can contribute up to $2,000 per child each year. This limit applies to all Coverdell Education Savings Accounts for the same child.

Are contributions deductible?
No, the money contributed to this IRA is not tax-deductible.

What are the tax advantages?
Withdrawals for certain qualified expenses are tax free. Qualified education expenses include tuition, fees, books, computer equipment and technology required for elementary, secondary and post-secondary education. A beneficiary may receive tax-free distributions from a Coverdell ESA in the same year he or she claims the Lifetime Learning or HOPE Scholarship tax credits.

When can I withdraw without restrictions?
Withdrawals are tax-free and penalty-free only for qualified education expenses. Earnings are subject to tax and penalty for most other withdrawals. Funds can be transferred from one child's account to an account for another child in the family.

NCUA Insured
Savings and checking accounts in our credit union are insured to $250,000 by the National Credit Union Administration, an agency of the United States Government.