ira: Severn, MD: IRA Req'd Min Distrib Repayment or Rollover Deadline - 08/29/20 08:19 PM
The deadline to return or rollover a Required Minimum Distribution (RMD) for IRA owners, beneficiaries or workplace retirement plan participants is coming up on Monday, August 31.
 
The CARES Act allows most taxpayers with an eligible retirement account, such as a 401(k), 403(b) or traditional IRA, to skip their required minimum distributions (RMDs) for 2020 without penalty. Individuals who received the RMD, including those who turned 70½ in 2019, have the option to return the distribution to their account or other qualified plan. They may also have the option of rolling over to another IRA or qualified retirement plan by August 31, 2020 … (1 comments)

ira: Severn, MD: 2020 IRA Required Minimum Distribution Waived - 05/17/20 09:54 AM
The CARES Act that was signed into law on March 27, 2020 includes an important provision for taxpayers with various retirement accounts, including 401(k), 403(b), 457(b), traditional Individual Retirement Accounts (IRAs), and designated Roth accounts. For many taxpayers, the law waives their obligation to withdraw a certain amount from such accounts (called a required minimum distribution, or RMD) during tax year 2020.
 
Under standard IRS rules for the above retirement account types, you would need to accept a 2020 RMD if you turn 72 years of age in 2020, turned 70 1/2 in 2019 or before, or are any age and inherited … (0 comments)

ira: Severn, MD: 2018 Retirement Contribution up to 4/15/19 - 04/04/19 06:24 PM
One of the most effective ways to reduce your taxes and fund your retirement is to max out your available retirement accounts.
 
If you haven't already funded your retirement account for 2018, you may still do so. You have until April 15, 2019 for contributions to a traditional IRA, deductible or not, and to a Roth IRA.
 
Your total contributions to all your traditional and Roth IRAs can't be more than $5,500 ($6,500, if age 50 or older) (note: your contribution also cannot exceed your taxable income compensation for the year). Making a deductible contribution may help you lower your tax bill … (2 comments)

ira: Severn, MD: 401K & IRA Contribution Limits for 2019 Taxes - 01/20/19 11:27 AM
Here is some more good news.
Due to an increase in the cost of living the IRS increased the contribution limits for 2019 for retirement plans. The increases in the annual limit to contributions are as follows:
 
1) 401(k), 403(b), most 457 plans, Thrift Savings Plan: Limit increased from $18,500 to $19,000.           If you are age 50 or older and have already contributed the maximum amount to your 401(k) during the current year, you may make an additional $6,000 catch-up contribution. This is unchanged from 2018.
 
2) IRAs, Roth IRAs: limit increased from $5,500 to $6,000. If you are aged 50 or older, the IRA, Roth … (0 comments)