BUSINESS O'neill Wants More Prisons and Troopers

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BUSINESS O'neill Wants More Prisons and Troopers ‘ *>., * *, V ^ '.J% I,*- ...\^t.-t<*t'’.-»»'.- J ■.. ■>•,' -> -V • }» • •# hr - ••:.-j5' rr -rT-7*r- M - MANCHESTER HERALD. Saturday, Pec. 14. MM BUSINESS SPORTS Pats seek elusive BuaineBa How to handle lump-sum retirement Orange Bowl win ... page 11 in an annuity, rather than an In B rie f QUESTION: I retired recently and received a fairly account, because IRA withdrawals will come to an large lump sum from my employer’s retirement plan. end and an annuity pays out for life. u ., Munton’t raltM $2,000 I know I can either report all this money on my 1985 I should think it all depends on which of income tax return and use 10-year averaging, or I can the better rate of return as an investment. What do A family day at Munson’i Candy Kitchen Inc. put it into a rollover individual retirement account. Investors’ railed $2,000 recently for Newington Children’s I have been told that it generally would be to my you think? Hospital. G uide advantage to take 10-year averaging. But, since I ANSWER: I ’m with you. Families visiting the Bolton candy shop had the have other money in certificates of deposit I can use to William A. Doyle For openers, vou don’t pay income tax on the money opportunity to watch candy being made from live on until I reach 70‘A , wouldn’t it be wiser to put the you put into any IRA. That saves you money each scratch-and-taste test samples. The proceeds will retirement plan distribution into a rollover IRA? ' year. Except for annuities in "403(b) plans, which be used to purchase medical equipment. are available to employees of schools, hospitals, ANSWER; Most likely, yes. religious, charitable and other nonprofit orgaiUza- Farm foreclosurat drop By using 10-year averaging, you would pay 1985 tions, the money that goes into annuities comes from iiaurbrBtrr Hrralit federal income tax on that lump-sum distribution as if ) Manchii.Mer .A Ciiy iil Village Charm withdrawals. after "after tax” dollars. , . WASHINGTON - Foreclosures by the you hod received the money over 10 years. That would And, anyone reaching age 70*A in 1985 or later is Farmers Home Administration were down There’s one point of which you should be aware. You be a big savings, compared to paying full income tax allowed to recalculate his or her life expectancy sharply in the fiscal year that ended on Sept. 30, on that money. However, the tax savings would be a have to put the money into the rollover IRA within 60 annually and stretch out IRA withdrawals. Assuming but officials say the situation for 1985-86 is clouded one-shot thing. After that, anything that money earns, days after you receive the check. If you delay past that you do that, you’ll never outlive yoiir IRA. Single copy: 25S by many uncertainties. in interest or dividends, would be taxable. The added time limit, you’ll be hit with full income tax on the Monday, Dec. 16,1985 That "someone” gave you bad advice. If you can Accoi^ing to new figures by the FmHA, an taxes you would pay in future years might be entire amount. afford to put money into an IRA. do it. agency of the Agriculture Department, about substantial. 4,005 farmers were "lost” through foreclosures, By putting that retirement plan distribution in a QUESTION: Do I have to roll over the entire QUESTION; Has the annual amount that a married bankruptcies and other causes in 1984-85. Those rollover IRA, you’ll defer income tax on both that amount of a qualified lump-sum distribution from my couple, only one of whom Is employed, been raised amounted to about 1.6 percent of the agency’s money and the money it earns until you make former employer’s retirement plan into an individual Telephone O’Neill wants farm borrowers, who total more than 270,000. withdrawals from the IRA, which you’ll be required to retirement account in order to keep it tax-deferred? from $2,250 to $4,000? In the previous year, said an agency start doing after age 70‘/k. spokesman, Marlyn Aycock, 6,713 farmers were There’s no cut and dried answer as to which of the ANSWER; No. That formerly was the rule, but it’s ANSWER: Not yet. That proposed hike in annual lost from all causes, a loss rate of 2.4 percent. two chojpes you are considering is better for everyone not any more. contributions to a spousal IRA is part of President a life-saver During 1982-83, he said, 7,529 farmers left the in your position. You can put part of that lump-sum distribution into Reagan’s tax overhaul plan and is expected to be included when the tax bill now under consideration more prisons land, a loss rate of 2.7 percent. For people who want to have lump-sum retirement a rollover IRA and do anything you like with the rest of "W e don't have any projections (for 1985-86),” plan distributions available for immediate spending, the money. finally clears Congress. Yes, I ’m hedging with the words “ proposed and Aycock said in an interview this week. "There are 10-year averaging 1s the wise choice. The portion of the lump sum that goes into the so many undecided factors, including what However, you don’t need that money. Most likely, rollover IRA will remain tax-sheltered. You will, of "expected.” Our lawgivers are still diddling around at town bar happens to the Farm Credit System." you’ll do better by putting It into a rollover IRA and course, have to pay income tax on the money you don’t with massive tax legislation. and troopers keeping it sheltered from taxes. That lump sum place in that IRA. should grow into a much more sizable amount by the Doyle welcomes written questions, but he can Call gives owner time time you’re required to start making IRA QUESTION; Someone told me it is better to invest provide answers only through the column. VA loan rate at low point HARTFORD (UPI) - Gov. given day. 6 to fire shot at robber William A. O’Neill said today he The $11.5 million package un­ WASHINGTON — The new maximum Vete­ will seek state funds in the next veiled today represents only part rans Administration loan rate of 10.5 percent that By George Layng fiscal year to hire more state of the budget request O’Neill will went into effect Friday is the lowest since late troopers and build additional pri­ submit to the General Assembly in 1970. Herald Reporter GAF Corp. aims February to finance operatlons of Stocks Set New Record sons to fight crime in Connecticut. Warren Lasko, executive vice president of the The Democratic governor issued the criminal justice system in the Mortgage Bankers Association, said the move by The Dow Jones Industrial Average climbed A phone call probably saved Sylvia Ann Whitten from getting shot late Sunday night. a series of proposals calling for next fiscal year, officials said. the VA, announced Thursday, is a response to the 23.97 points to 1535.21, surpassing its spending more than$11.5millionin Although the package includes decline in all mortgage rates. to sweeten offer previous record of 1511.70. Whitten, the owner of Renn’s Tavern on Cooper the 1986-87 fiscal year as part of some new initiatives, several of its He refused to p i^ ic t any further lowering of Street, was held up at gunpointby a man in a ski mask what will be his overall proposed components are required under rates, but added that for 15-year conventional just after midnight. ’The unidentified man forced budget for the courts and criminal laws enacted earlier and the $11.5 loans "w e are darned close to having single-digit Whitten to give him cash from the register and then million total merely includes the mortgage rates.” justice system. pointed a handgun at her. The proposals unveiled today funds to carry out those commit­ The change is the second in less than a month Previous record Company plans to woo When the gun made a clicking noise, Whitten included added . funding to hire ments, officials said. and the fifth this year. The VA had lowered the of 1511.70 set The main components of the rate to 11 percent Nov. 20. thought she was about to get shot. But just then, a additional state police and court Dec. 11, 1985. phone behind the man rang. staff and to build three new prisons $11.5 million package include; and other facilities, including the • $225,000 for new state police "It startled him enough to turn around,” Whitten Carbitde sharehoWers state’s first halfway house for recruits. Larrye deBear, the gov­ said this morning. She then ducked behind a counter, * women inmates. ernor’s press secretary, said the Yields down In late auction pulled out her own .25 caliber pistol, reached over the By Morybeth Nibley chairman and chief executive officer, O’Neill outlined the $11.5 million request represents a continuation counter and fired. WASHINGTON — Yields on short-term Treas­ The Associated Press renewed his request to meet with Union package in remarks prepared for of efforts to beef up the state police ury securities fell in the postponed auction Carbide management and said the The man yelled “ Jesus” and ran out the front door, delivery at a luncheon following force. Thursday with rates on six-month bills dropping NEW YORK — By amending the proposed d ^ l, including the price, was police said.
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