Federal Tax, Tax

Reminder: April 18 is Deadline to Make 2022 Contributions to Traditional or Roth IRA

With tax day approaching, the IRS is reminding individuals that they have until April 18, 2023, to make 2022 contributions to a traditional or Roth IRA. Another reminder: Taxpayers in plans including 401(k)s and 403(b)s whose salary deferrals exceed the 2022 limit ($20,500 for taxpayers under age 50) must remove the excess deferral amount, plus any earnings, by April 15, 2023. Those who made salary deferral contributions to the retirement plans of two or more employers in 2022 are most at risk for exceeding the deferral limit. Employers can correct a retirement plan with excess salary deferrals that aren’t removed by April 15 using the Self-Correction or Voluntary Correction Programs. Questions? Reach out to us. © 2023