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> Your Last Chance to Make 2009 IRA Contributions

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Use Your Income Tax Refund to Invest in Your Home

Put Cash for Your Business at Your Fingertips

Tracking Your Progress Toward Retirement

Financial Solutions for Your Life’s Decisions

PERSONAL BANKING

Use Your Income Tax Refund to Invest in Your Home

MAKE HOME OWNERSHIP DREAMS A REALITYIf you’ve been dreaming about owning your own home, upgrad-ing to a larger home or buying a vacation home, your income tax refund can help make your goals a reality. You can put your tax refund toward the down payment required to purchase a home or use it to cover closing costs or other fees associated with buying a home.

Homeownership provides a variety of benefits – from offering the opportunity to generate equity in your investment to providing stability for your family to building financial security for your future – and the federal government currently is offering significant tax incentives that make purchasing a home more attractive than ever.

IMPROVE OR REMODEL YOUR HOMEFor current homeowners, an income tax refund offers you the opportunity to invest in your biggest asset. Using your tax refund to make home improvements can improve your quality of life and provide you with greater enjoyment from your home – and if you make certain energy-efficient improvements, it can lead to savings on your 2010 income tax.*

Home remodeling experts say improvements made to kitchens and bathrooms are among the most popular ways to inject new life into a house. Even if you’re expecting only a nominal refund, you can use it for smaller improvements – or put it to work in tandem with home-equity financing to fund something more substantial.

REFINANCE YOUR MORTGAGE Using your income tax refund to cover closing costs related to refinancing your mortgage is another potential way to put your income tax refund to work to improve your financial future.

If you currently have an adjustable-rate mortgage, you can lock in a monthly payment that fits within your budget by converting to a fixed-rate loan. If you already have a fixed-rate mortgage but the interest rate is above current rates, you can reduce your payment amount or loan term – or both – by refinancing.

A LASTING INVESTMENT IN YOUR QUALITY OF LIFEThe majority of people who receive tax refunds this year will head for the mall or book a vacation that may provide some temporary enjoyment. By investing your tax refund in your home, it can go a long way toward improving your quality of life on a lasting basis.

* Visit www.energystar.gov/taxcredits for more information.

IF YOU’RE EXPECTING AN INCOME TAX REFUND THIS SPRING, consider putting it to work to make an investment in your home – by using it to help you purchase a new home, to make improvements to your current home or to refinance your mortgage at a lower interest rate.

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Homebuyer Tax Credit

ExtendedThe federal government has extended the tax credit available to first-time homebuyers to cover qualifying home purchases made by April 30, 2010, and with a closing date of June 30, 2010, or earlier.

For more information, please visit www.federalhousingtaxcredit.com.

PERSONAL BANKING

Source: Federal Home Loan Mortgage CorporationBased on the Annual Average Commitment Rate on 30-Year Fixed Rate Mortgages

2000

2001

2002

2003

2004

2005

2006

2007

2008 2009

8.05% 6.97% 6.54% 5.83% 5.84% 5.87% 6.41% 6.34% 6.03%

5.04%

20002001 2002 200320042005 2006 20072008

2009

Average Mortgage Rates Through the Years

INVESTMENTS

WHEN IT COMES TO SAVING FOR RETIREMENT, THERE ARE TWO SIMPLE RULES:

When it comes to saving for retirement,there are simple rules:

Saver A saved just $500 more each year than Saver B and ended up with almost $20,000 more over 20 years.

Assumes a 6% annual rate of return.

Saving a little more can really add up.

$97,027

$2,500Per year

$77,622

$2,000Per year

$200,000

$150,000

$100,000

$50,000

0

Saver A Saver B

1

2

Savers A and B both set aside $60,000 during their lifetimes, but with a 10-year head start, Saver A ended up with an additional $40,000.

Starting earlier can make a big difference.

$166,953

$2,000Per year

for 30 Years

$126,599

$3,000Per year

for 20 Years

$200,000

$150,000

$100,000

$50,000

0

Saver A Saver B

2

Assumes a 6% annual rate of return.

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ENSURING FINANCIAL SECURITY FOR YOUR FUTURE Today’s uncertain economic environment may be creating some serious questions in your mind about retire-ment: Will you be able to retire when you’d originally planned? Can you live the retirement lifestyle you’ve imagined? How much do you really need to ensure your savings last a lifetime? Where do you begin?

For some people, these questions are so daunting that they do nothing – and that’s the biggest mistake you can make. Regardless of where you are in life and where you want to go in retirement, the only way to get there is to save toward your goal.

Whether you’re just starting out, firmly entrenched in the working world or nearing your golden years, follow thesetips to help stay on track for a successful retirement.

ENVISION YOUR FUTURE Create a realistic vision of the lifestyle you’d like to lead in retirement. Staying on track starts with knowing your destination.

LEARN ABOUT IRAs Individual Retirement Accounts (IRAs) are one of the best ways to save for your future. If you have earned income and are no older than 70½, you can contribute to a Traditional IRA (please see related article).

UNDERSTAND ROTH CONVERSIONS If you’ve already started saving in another retirement account, converting to a Roth IRA may help you minimize taxes and maximize your retirement savings.

GET YOUR SPOUSE INVOLVED Find out if your spouse, whether working or not, can contribute to a Traditional or Roth IRA.

NEVER SKIP A YEAR Make saving for your retirement a top priority. Even when times are tough, do what you can to keep saving, and never take a year off from contributing to your future.

SAVE AS MUCH AS YOU CAN When it comes to saving for retirement, put away as much as you can as soon as you can. You can dial back later in life when you get closer to your goals.

SAVE AT WORK Take advantage of your employer’s retirement plan. If your employer matches your contribu- tions, make sure you’re getting the maximum match available.

SPEND SMART Create a house- hold budget or spending plan and stick to it. Keep your debt under control.

GET HELP FROM A PRO Rely on a financial professional to advise and assist you with your retirement planning.

REVIEW YOUR PROGRESS Monitor your savings and evaluate your progress toward your retire- ment goals at least annually. Make changes in your investment approach as appropriate as you get closer to retirement age.

Tax season is an ideal time to assess the progress you’re making with your retirement savings. As you gather your financial paperwork and review the past year, take some time to calculate how much you’ve saved toward retirement and evaluate whether you’re on track to reach your goals.

Securities and brokerage services are provided by PNC Investments LLC, member FINRA and SIPC. Annuities and other insurance products are offered by PNC Insurance Services, LLC a licensed insurance agency.

Staying on Track for the Retirement You Want

If you’ve not yet made your maximum allow-able contribution to an Individual Retirement Account (IRA) for the 2009 tax year, you still have until April 15, 2010, to do so. Combining the benefits of tax deferral with the potential for investment growth, an IRA is a great tool to help you achieve the retirement you want.

Anyone under age 70½ with earned income can contribute to a Traditional IRA, and money contributed to your Traditional IRA is not taxed until you withdraw it at retirement. Additionally, your IRA investment grows tax-free over the years – it becomes subject to federal income taxes only when you start withdrawing funds.

Consult your tax advisor or financial profes-sional for more information on how an IRA can help you meet your retirement goals.

Making the Most ofIRA Opportunities

INVESTMENTS

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Ensuring Access to the Credit Your Business Needs to Succeed

Establishing a Business Line of CreditIt’s best to apply for a line of credit before you have an urgent need for cash. Don’t wait until you’re facing a cash crisis before applying for a line of credit – and you won’t risk putting your business in an emergency situation where you may have to use your credit cards or other high-interest credit vehicle to meet your need for cash.

Do Your Homework Before ApplyingYou can demonstrate your creditworthiness and enhance your ability to secure a line of credit by having accurate, up-to-date financial information on your business (such as tax returns and financial statements and projections) at your disposal when you apply. Be prepared to ex-plain any recent trends in your busi-ness’ performance, too – especially if you’ve been impacted negatively by the current economic environment.

It’s also a good idea to have an amount of credit in mind when you apply for your line. As a rule of thumb, many lenders generally consider 10 percent of your annual sales to be a sufficient amount for a business line of credit.

Use Your Line of Credit WiselyIt’s important to use your line of credit judiciously. It’s not advisable to use it to finance major purchases or fund operating losses on an ongoing basis. A business line of credit is best-used for meeting short-term working capital needs, like covering cash flow shortages and unexpected expenses or purchasing seasonal inventory.

It’s also important to be disciplined in paying off your line of credit. If you used the line to cover expenses in advance of a receivable you’re expecting, be sure to use the proceeds of the receivable to pay down the line once it’s collected. Don’t get in the habit of making the minimum payment on your line each month, and make paying down the line a priority whenever you receive a large sum of cash.

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It’s a good idea to check out the stability of a potential lender before applying for a business line of credit. Look for a financial institution that’s strong, stable and well-positioned to be there for your business on a long-term basis.

When seeking a line of credit lender, start with the bank where you have your business checking relationship. If another bank suits your needs bet-ter, be willing to move your checking account to that bank once your line is established.

Finally, make it a point to establish a relationship with your business banker. Stay in touch with your banker to let him or her know about your successes and explain any issues you might be facing, and put your banker on your distribution list for your newsletter, news releases and any e-mails you issue to highlight your achievements.

BUSINESS BANKING

Look for a Lender That Will

Be There for You in the Long Run

All businesses experience cash flow peaks and valleys from time to time, so it’s critical to ensure you have access to the credit you need to respond to the cash shortfalls you may face – as well as to take advantage of new opportunities that may come your way.

One of the best ways to ensure you’ll have cash when you need it is to establish a line of credit for your business. A line of credit puts cash at your fingertips and, unlike an installment loan, requires you to pay interest only on the amount you actually use.

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This publication may provide reference to Internet sites as a convenience to our readers. While PNC endeavors to provide resources that are reputable and safe, we cannot be held responsible for the information, products, or services obtained on such sites and will not be liable for any damages arising from your access to such sites. The content, accuracy, opinions expressed, and links provided by these resources are not investigated, verified, monitored or endorsed by PNC.

These articles are for general information purposes only and are not intended to provide legal, tax, accounting or financial advice. PNC urges its customers to do independent research and to consult with financial and legal professionals before making any financial decisions. The opinions and views expressed by the authors do not necessarily reflect the opinions and views of PNC or any of its subsidiaries or affiliates, nor does the inclusion of the articles in this magazine constitute endorsement by the authors or PNC of any of the products or services of others referenced herein.

FOR MORE INFORMATION: PNC Directions is a publication of The PNC Financial Services Group, Inc., a highly diversified and growing financial services organi-zation offering a wide range of products and services for individuals, businesses, corporations and government entities. No matter how simple or complicated your needs, PNC is sure to have the right products, knowledge, and resources to provide you with a variety of solutions.

For more information, please call 1-877-CALL-PNC, visit pnc.com or stop by any PNC location.

EXPLORING NATURE WITH CHILDRENExploring the outdoors with your child can provide endless fascination and is a great way to make everyday moments learning experiences. Here are some tips for getting started: • Family Nature Walks – Start by exploring your own backyard, then broaden your horizons to include parks or wooded areas near your home. Bring along a small pail or other container for collecting things of interest to your child that you can talk about. • Experience Nature – When you are outside, give your child a bag to collect nature things, like a leaf or a stone or a twig. When you encourage your child to be interested in ordinary things in nature, you’ll be helping your child learn about science. For more great tips and information on Grow Up Great, visit pncgrowupgreat.com.

PNC GROW UP GREATPNC Grow Up Great and PNC Crezca con Éxito, is a bilingual, school readiness program that helps to prepare young children from birth to age 5 for school and life. This 10-year, $100 million initiative is designed to help produce stronger, smarter and healthier children, families and communities.

FREE ‘LEARNING IS EVERYWHERE’ KITS AVAILABLESesame Street’s™ “Happy, Healthy, Ready for School: Learning is Everywhere” free bilingual, multimedia kits include a magazine for parents and caregivers, a children’s activity book and cards, along with an original Sesame Street™ DVD that follows Elmo, Abby Cadabby and their friends on a learning adventure through the everyday moments they have at home and on the go. Pick up the kits at any PNC Bank branch or download it at pncgrowupgreat.com.

“Sesame Street”® “Sesame Workshop”® and associated characters, trademarks and design elements are owned and licensed by Sesame Workshop. 2010 Sesame Workshop. All Rights Reserved.

PNC IS DEDICATING THE WEEK OF APRIL 11-17 TO ITS GROW UP GREAT PROGRAM. Visit any PNC Bank branch during this time for special offers and to pick up a free Sesame Street™ “My World is Green and Growing” kit, developed for PNC by Sesame Workshop, the nonprofit organization behind “Sesame Street.” The kit provides useful tips and activities to help young children and grown-ups explore the natural environment by using everyday moments as great learning opportunities.

GREAT WEEK April 11-17

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