- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Tax Implications for a late contribution to Roth IRA?
Posted on 1/31/13 at 1:02 pm
Posted on 1/31/13 at 1:02 pm
I haven't made my max contribution to my Roth IRA for 2012. I'd like to make a late contribution, but I want to double check the tax return implications (or presumably lack thereof).
Since the money has already been taxed and is going into a Roth, am I correct in assuming this has absolutely zero tax implications for me? I wouldn't need to wait for any updated forms from my bank/broker after the late contribution to be able to file my tax return, would I? It shouldn't have an effect on taxable income, right?
Since the money has already been taxed and is going into a Roth, am I correct in assuming this has absolutely zero tax implications for me? I wouldn't need to wait for any updated forms from my bank/broker after the late contribution to be able to file my tax return, would I? It shouldn't have an effect on taxable income, right?
1
Posted on 1/31/13 at 1:24 pm to kennypowers816
as long as the Roth account was open on or before December 2012, you have until April 15th the make a contribution up to $5k.
Posted on 1/31/13 at 1:34 pm to tigeraddict
Roth IRA has been open since 2007 or so I believe. I know I can make the contribution before 4/15.
My questions is... can I file my tax return now and then make my Roth contribution subsequently? I expect I should be able to because the Roth contribution has no effect on my taxable income, etc., right?
My questions is... can I file my tax return now and then make my Roth contribution subsequently? I expect I should be able to because the Roth contribution has no effect on my taxable income, etc., right?
Posted on 1/31/13 at 1:47 pm to kennypowers816
quote:
can I file my tax return now and then make my Roth contribution subsequently? I expect I should be able to because the Roth contribution has no effect on my taxable income, etc., right?
Yep. You contribute to a Roth with post-tax money, so you can't claim it on your return anyway.
Posted on 1/31/13 at 2:10 pm to foshizzle
Yes. Just tell your tax preparer next year you contributed to it afterwards so the amount can be added to your Roth basis. You can take losses on Roth accounts but it's part of the 2% misc. itemized deduction.
Posted on 1/31/13 at 2:21 pm to tigeraddict
quote:
as long as the Roth account was open on or before December 2012, you have until April 15th the make a contribution up to $5k.
I just opened my Vanguard account last week and they let me max out my 2012 contribution
Posted on 1/31/13 at 3:07 pm to Lsut81
quote:
I just opened my Vanguard account last week and they let me max out my 2012 contribution
Ya, you can open it before April 15 and contribute to the taxable year. I didn't do it because I was barely going to max out 2012 any ways so I didn't see the point of contributing to 2011. Of course take advantage of it if you can.
This post was edited on 1/31/13 at 3:09 pm
Posted on 1/31/13 at 3:34 pm to Teddy Ruxpin
quote:
Ya, you can open it before April 15 and contribute to the taxable year. I didn't do it because I was barely going to max out 2012 any ways so I didn't see the point of contributing to 2011. Of course take advantage of it if you can.
Maxed out 2012 and about to max out 2013 within the next week... Gotta figure where to put money for the rest of the year
Posted on 1/31/13 at 4:20 pm to Lsut81
quote:
Maxed out 2012 and about to max out 2013 within the next week... Gotta figure where to put money for the rest of the year
I'm guessing your 401k is fully funded (up to match, but if you got 17,000, congrats!) throughout the year from paycheck to paycheck?
I opened an HSA to give me another tax advantaged account to fill up. You got/can get one of those? That's another 3,250 a year you can stash and invest pretty freely depending on what bank you choose.
After that, I believe you just have to open a regular taxable investment account. I don't really know the options for people really raking it in. At that point I suppose you may have to shift your tax efficient assets into the taxable account, and vice versa. But don't depend on me for that stuff.
This post was edited on 1/31/13 at 4:24 pm
Posted on 1/31/13 at 4:30 pm to Teddy Ruxpin
quote:
I'm guessing your 401k is fully funded (up to match, but if you got 17,000, congrats!) throughout the year from paycheck to paycheck?
Current employer doesn't have a 401k just yet, so thats why my money is beginning to pile up
Posted on 1/31/13 at 5:34 pm to Lsut81
quote:
Current employer doesn't have a 401k just yet, so thats why my money is beginning to pile up
Yet? As in at all? Or that you aren't eligible? Thats a bummer.
If you don't have an HSA you should open one up since you can use that as a "stealth" IRA.
After that, I guess you'd have to get a taxable investment account but I'm not a money wiz like the folks here.
This post was edited on 1/31/13 at 5:35 pm
Posted on 1/31/13 at 5:41 pm to Teddy Ruxpin
quote:
Yet? As in at all? Or that you aren't eligible? Thats a bummer.
Yeah, were a small operation, but the goal is to have a 401k in place by end of the first quarter.
quote:
If you don't have an HSA you should open one up since you can use that as a "stealth" IRA.
Unfamiliar with this, please explain...
I had an HSA at my old job that was fully funded by the company. Pretty much had free medical care bc I used to to pay my doctors co-pays and prescriptions
Posted on 1/31/13 at 5:48 pm to Lsut81
Wikipedia - Health Savings Accounts
Stealth IRA
I didn't read the article above, but I assumed with the title "Stealth IRA" it was about what I'm talking about.
Only thing I noticed off the top is it isn't guaranteed you can fund the HSA with pre-tax dollars. My employer only allows me to contribute post-tax dollars. You'll have to check your employer on that.
And as I said, for an individual, you can max contribute 3,250 a year for 2013.
Stealth IRA
I didn't read the article above, but I assumed with the title "Stealth IRA" it was about what I'm talking about.
Only thing I noticed off the top is it isn't guaranteed you can fund the HSA with pre-tax dollars. My employer only allows me to contribute post-tax dollars. You'll have to check your employer on that.
And as I said, for an individual, you can max contribute 3,250 a year for 2013.
This post was edited on 1/31/13 at 5:52 pm
Posted on 1/31/13 at 6:00 pm to Teddy Ruxpin
quote:
If you don't have an HSA you should open one up since you can use that as a "stealth" IRA.
Posted on 1/31/13 at 6:05 pm to foshizzle
quote:
foshizzle
You fully quoted my post. I feel validated.
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News