It’s not too late – IRA Contributions for 2020


In case you missed it, the IRS extended the filing date for federal tax returns to May 17, 2021. There is still time to make an IRA contribution for 2020. The IRA contribution limit for 2020 was $6,000 to any combination of Traditional IRAs and/or Roth IRAs. If you file a joint return, you and your spouse can each contribute to an IRA even if only one of you has taxable compensation. The amount of your employment income (salary, wage, self-employment, and alimony) must be more or equal to the amount of your IRA contribution. Also, for those that have reached age 50 by year-end 2020, an additional $1,000 catch up contribution per person may be added to the normal limits.

If you have any questions about this or you need help making these contributions, please contact us at plan@kahlerfinancial.com. 

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