Take Advantage of That Delayed IRA Contribution Deadline

Have you made an IRA contribution for 2019 yet? Are you worried that you might not get the chance to? Well, there is good news. While you probably heard that the IRS extended the deadline for filing taxes to July 31, you probably did not know that the deadline for making a prior year contribution was pushed back to July 15. That’s three extra months! That might not seem like a big deal, but it could be for many Americans who didn’t get to make a contribution for 2019. If you didn’t get to make a contribution–and of course have Continue reading Take Advantage of That Delayed IRA Contribution Deadline

Don’t Miss Out on a 2018 IRA Contribution

You may not realize it, but you still have time to make a contribution to your IRA and still have it count for 2018. Whether it’s a traditional IRA or a Roth IRA, you have until tax day to make a contribution for the previous year. Thus, you can make a contribution anytime before April 15, 2019, and have it count as though it was made in 2018. Many people don’t realize that such an opportunity exists. However, keep in mind that the April 15 deadline is a hard deadline, which means there is no ability to extend it, unlike Continue reading Don’t Miss Out on a 2018 IRA Contribution

Clarifying the Remaining Recharacterization Question

The tax reform legislation passed late last year included changes to retirement accounts and associated transactions. One of the biggest changes in the Tax Cuts and Jobs Act was that it got rid of the ability to recharacterize Roth IRA conversions, but kept the ability to recharacterize traditional IRA and Roth IRA contributions. This change took effect on January 1, 2018, but left one question remaining: What could be done regarding 2017 contributions that people may want to recharacterize at later date? Well, the IRS listened and has spoken. According to its website, a Roth IRA conversion made in 2017 Continue reading Clarifying the Remaining Recharacterization Question