As we begin a new year, keep in mind that you generally have until April 17, 2018 to contribute to your traditional IRA and Roth IRA for the 2017 tax year. If you get a filing extension, you have until October 15, 2018 to contribute to Keogh or SEP plans for 2017. The maximum IRA contribution for 2017 is $5,500 ($6,500 if 50 or older) and the maximum for SEPs and Keoghs is 25% of self-employment earnings up to $54,000. Additionally, you can take advantage of tax-deferred compounding by beginning to make your 2018 plan year contributions now. Each situation is unique; taxpayers should consult with their tax advisor to assess his or her personal situation.
Contact us to help answer your questions about retirement contributions and other tax matters.