Investment Services
Robust, cost-effective options for retirement fund portfolios
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Learn MoreInvestment options provide the flexibility and ability to diversity
After enrolling in their 401(k) or other retirement plan, your employees will focus on their choice of investment options. Whether we serve as your plan’s Investment Manager or Investment Advisor, First American Bank offers a custom line-up of investment choices, target-risk portfolios and Collective Investment Trusts designed to satisfy any investor preference.- As an institutional investor, we evaluate and monitor the Plan’s investment options based on the criteria established in your investment policy. These options are reviewed based on their performance, cost-effectiveness and risk to design fund line-ups that offer participants the ability to diversify their investments across a variety of asset classes.
- We also offer several target-risk (lifestyle) model portfolios that allow participants to choose a certain style of investing (from conservative to aggressive).
- Using stringent criteria, we will provide the ongoing fund monitoring and analysis to give your plan a consistently strong investment menu, and to assist you in meeting fiduciary responsibilities.
Disclosures
Not FDIC Insured | Not Bank Guaranteed | May Lose Value | Not Guaranteed by Any Government Agency | Not a Bank Deposit
Prior to 2020, you were required to start taking Required Minimum Distributions (RMDs) by April 1 of the year following the year in which you attained age 70 ½. That rule still applies if you attained age 70½ by the end of 2019. Once you are required to begin taking RMDs, you must continue. For 2020, the SECURE Act increased the age to begin RMDs to age 72 and then subsequently with the passing of SECURE Act 2.0 beginning in 2023, the age has been raised again. The schedule below outlines at what age you must begin taking RMDs.
Date of birth before 7/1/1949, RMD starts at age 70 ½. Date of birth 7/1/1949 to 12/31/1950, RMD starts at age 72. Date of birth 1/1/1951 to 12/31/1959, RMD starts at age 73. After 12/31/1958, RMD starts at age 75.
The same April 1 deadline applies. Thereafter, you must take RMDs annually on or before December 31. Note, two required distributions will be issued your first year if you wait until the period January 1 to April 1 to begin your RMDs. You may avoid two taxable distributions in the first year by taking your first withdrawal on or before December 31 of the year in which you attain the applicable age as shown above.
However, if you are still working, you are not required to begin RMDs from your employer sponsored plan until April 1 of the year following the year in which you terminate employment. This exception does not apply if you own more than 5% of the employer, nor does it apply to IRAs.
a. $23,000 for 2024;
b. the maximum deferral amount allowed under the terms of the plan; or
c. the amount that allows the plan to meet the required nondiscrimination tests.
In addition, if you attain age 50 or older by December 31, you may defer an additional $7,500 catch up contribution.
