It’s Not Too Late…

It’s Still Not Too Late for 2019 IRA Contributions
Did you know you can still contribute to your IRA for 2019 until July 15th of 2020?  It’s not too late to save money in your traditional or Roth IRA.
This years contribution limits are as follows:
$6,000 if you are under age 50
$7,000 if you are 50 or older
It’s good to remember this limit is per person, not per retirement account. You can have more than one IRA (for example a Traditional and Roth IRA). However, your total contributions for both cannot exceed the limit mentioned above. Also don’t forget you need to have earned income in order to contribute to an IRA.
Do you have a SEP IRA? Here’s what the IRS each year cannot exceed the lesser of as to say for SEP contributions:
The contributions you make to each employee’s SEP-IRA:
1. 25% compensation, or
2. $57,000 for 2020 ($56,000 for 2019) and subject to annual cost-of-living adjustments for later years.
These limits apply to contributions you make for your employees to all defined contribution plans, which includes SEPs. Compensation up to $285,000 in 2020 ($280.000 in 2019 and subject to cost-of-living adjustments for later years) of an employee’s compensation may be considered. If you are self-employed, use a special calculation to determine contributions for yourself.
Please schedule a call or visit with Pat if you need help!

It’s Not Too Late…
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