This commentary covers the Federal Deposit Insurance Corp. (FDIC) insurance guidelines for certain types of accounts holding insured bank deposits.

FDIC insurance covers all types of deposits with an insured bank, including money market deposit accounts and CDs. The standard maximum deposit insurance amount (SMDIA) through December 31, 2013, is $250,000 per depositor, per insured bank. On July 21, 2010, the SMDIA was permanently raised to $250,000 through the Dodd-Frank Wall Street Reform and Consumer Protection Act.

Depending on account ownership, the number of depositors who qualify for FDIC insurance coverage can vary. Appendix A lists the general FDIC insurance rules for each category of account ownership. Appendix B is an example of a married couple with three children maximizing their FDIC insurance.

For additional information about FDIC insurance, visit www.fdic.gov/deposit. The FDIC Web site also provides a tool to help calculate FDIC coverage for different types of accounts. The tool is called the Electronic Deposit Insurance Estimator (EDIE) and can be found at: https://www.fdic.gov/edie/index.html.

Copyright © 2010, Buckingham Family of Financial Services. This material and any opinions contained are derived from sources believed to be reliable, but its accuracy and the opinions based thereon are not guaranteed. The content of this publication is for general information only and is not intended to serve as specific financial, accounting or tax advice. To be distributed only by a Registered Investment Advisor firm. Information regarding references to third-party sites: Referenced third-party sites are not under our control, and we are not responsible for the contents of any linked site or any link contained in a linked site, or any changes or updates to such sites. Any link provided to you is only as a convenience, and the inclusion of any link does not imply our endorsement of the site.