Retirement Funding - 2020 tax year
Limit on 401(k) contributions for 2020 is $19,500 with a $6,000 catch-up provision for taxpayers over age 50.
Limit on IRA contributions for 2020 is $6,000 with a $1,000 catch-up provision for taxpayers over age 50.
IRA Funding must be completed by 4/15/2021 for the 2020 tax year.
SEP IRA's - SEP IRA's have limits based on the earnings of a self-employed individual. The contribution amount will need to be calculated when your tax return is prepared. Funding must be completed by the due date of the 2020 tax return, including extensions.
IRS Circular 230 Notice: This written advice was not intended to be used, and cannot be used by anyone, for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code or applicable state or local tax provisions.
Myra B. Carlisle, CPA
Myra Carlisle & Company, PC