Comments on: Roth IRA: Contribute to a Roth IRA up Until the Date You File Your Taxes http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/ Real Personal Finance for a Life Without Limits! Thu, 18 Mar 2010 03:52:01 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: thomas http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2907 thomas Thu, 08 Jan 2009 20:01:59 +0000 http://ptmoney.com/?p=1701#comment-2907 Thanks for the round up. Great advice. Thanks for the round up. Great advice.

]]> By: Carnival of Personal Finance: Fairy Tale Edition at Clever Dude Personal Finance & Money http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2884 Carnival of Personal Finance: Fairy Tale Edition at Clever Dude Personal Finance & Money Mon, 05 Jan 2009 15:26:53 +0000 http://ptmoney.com/?p=1701#comment-2884 [...] the king, that is), so Mike must read up on the new 401k contribution limits and make sure he contributes to last year’s Roth IRA while he still has time this year. They’ll both need good tax tips for this year, such as whether to recharacterize [...]

[...] the king, that is), so Mike must read up on the new 401k contribution limits and make sure he contributes to last year’s Roth IRA while he still has time this year. They’ll both need good tax tips for this year, such as whether to recharacterize [...]

]]> By: My Journey http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2853 My Journey Tue, 30 Dec 2008 04:52:48 +0000 http://ptmoney.com/?p=1701#comment-2853 PT & Jeff, I also checked with my advanced business and estate planning dept. It seems that a traditional IRA can be set up post new year to take advantage of 2008 contributions. That being said it should still be noted that if you are going to set up a different type of qualified account (SEP, SIMPLE, etc.) it may have to be set up in the next 2 days. PT & Jeff,

I also checked with my advanced business and estate planning dept. It seems that a traditional IRA can be set up post new year to take advantage of 2008 contributions.

That being said it should still be noted that if you are going to set up a different type of qualified account (SEP, SIMPLE, etc.) it may have to be set up in the next 2 days.

]]> By: PT http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2844 PT Mon, 29 Dec 2008 16:25:22 +0000 http://ptmoney.com/?p=1701#comment-2844 @Totally Lost - You have until April 15th, 2009 or your tax filing day to open and fund the 2008 Roth IRA. So, just know that you have plenty of time. I would recommend finding a non-commission, fee-only financial planner or CPA to advise you on (1) where to open the account and (2) what to invest in. At the same time, you need to make an effort to get the basic understanding of retirement accounts. There is a ton of free, quality information out there on the Roth IRA. Do some research yourself and get comfortable with the terminology so that you don't have to blindly trust someone else. Best of luck. @Totally Lost – You have until April 15th, 2009 or your tax filing day to open and fund the 2008 Roth IRA. So, just know that you have plenty of time.

I would recommend finding a non-commission, fee-only financial planner or CPA to advise you on (1) where to open the account and (2) what to invest in. At the same time, you need to make an effort to get the basic understanding of retirement accounts. There is a ton of free, quality information out there on the Roth IRA. Do some research yourself and get comfortable with the terminology so that you don’t have to blindly trust someone else. Best of luck.

]]> By: Totally Lost http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2842 Totally Lost Mon, 29 Dec 2008 14:00:23 +0000 http://ptmoney.com/?p=1701#comment-2842 Hello there, My husband and I (both around age 30) know we must open IRAs immediately, but neither one of us knows the first thing about it. I know that we are eligible for Roth and can only open with a small amount now. Also, we know that we want an account that is very low maintenance. I've been reading a lot about opening these accounts online - i.e. through T.Rowe Price or Vanguard. Is this wise for people like us? Or are we better off getting some actual advice with an actual person? Thanks! Hello there,
My husband and I (both around age 30) know we must open IRAs immediately, but neither one of us knows the first thing about it. I know that we are eligible for Roth and can only open with a small amount now. Also, we know that we want an account that is very low maintenance. I’ve been reading a lot about opening these accounts online – i.e. through T.Rowe Price or Vanguard. Is this wise for people like us? Or are we better off getting some actual advice with an actual person? Thanks!

]]> By: Jeff Rose http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2833 Jeff Rose Fri, 26 Dec 2008 17:35:25 +0000 http://ptmoney.com/?p=1701#comment-2833 @PT and @My Journey My Journey, I think we may have been mistaken. I contacted my IRA department and in regards to traditional and Roth IRA's, you have until the tax deadline of April 15th to get it open. Woops! I think what we may have been thinking of is business retirement plans. SEP IRA's have to be established before the year end. Simple IRA's have until the end of October. Hope this clarifies. Sorry for the misinformation. @PT and @My Journey

My Journey, I think we may have been mistaken. I contacted my IRA department and in regards to traditional and Roth IRA’s, you have until the tax deadline of April 15th to get it open. Woops!

I think what we may have been thinking of is business retirement plans. SEP IRA’s have to be established before the year end. Simple IRA’s have until the end of October.

Hope this clarifies. Sorry for the misinformation.

]]> By: My Journey http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2832 My Journey Fri, 26 Dec 2008 17:05:23 +0000 http://ptmoney.com/?p=1701#comment-2832 Jeff, Thanks for getting my back! LOL JK. PT, if Jeff can't find it I will call my advanced planning dept on Monday. It has to do with the theory that the IRS is allowing you to contribute to your 2008 IRA into 2009 but if you don't have a 2008 IRA you can't contribute into it in the year 2009 until April. Jeff,

Thanks for getting my back! LOL JK. PT, if Jeff can’t find it I will call my advanced planning dept on Monday.

It has to do with the theory that the IRS is allowing you to contribute to your 2008 IRA into 2009 but if you don’t have a 2008 IRA you can’t contribute into it in the year 2009 until April.

]]> By: Jeff Rose http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2827 Jeff Rose Thu, 25 Dec 2008 05:30:49 +0000 http://ptmoney.com/?p=1701#comment-2827 @PT Honestly, it's just a rule that's kind of always been passed down to me since I got it in the business. I've never actually tried to find it in the IRS regs. First thing Friday, I'll contact my IRA department to clarify and see if I can get an exact answer. Keep you posted.... @PT

Honestly, it’s just a rule that’s kind of always been passed down to me since I got it in the business. I’ve never actually tried to find it in the IRS regs.

First thing Friday, I’ll contact my IRA department to clarify and see if I can get an exact answer. Keep you posted….

]]> By: PT http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2825 PT Wed, 24 Dec 2008 23:00:00 +0000 http://ptmoney.com/?p=1701#comment-2825 Thanks for stepping in here, Jeff. But where in IRS Pub 590 is this stated? It's not that I don't believe you, I just couldn't find it in the tax reg. Have a Merry Christmas. Thanks for stepping in here, Jeff. But where in IRS Pub 590 is this stated? It’s not that I don’t believe you, I just couldn’t find it in the tax reg. Have a Merry Christmas.

]]> By: Jeff Rose http://ptmoney.com/2008/12/17/roth-ira-a-2008-goal-you-still-have-4-months-to-achieve/comment-page-1/#comment-2824 Jeff Rose Wed, 24 Dec 2008 22:26:57 +0000 http://ptmoney.com/?p=1701#comment-2824 @PT My Journey is right. The account has to be established before year-end so that you can contribute for the 2008 tax year. For example, you cannot open an IRA on January 1, 2009 and then make a contribution for 2008. Keep in mind that this is only for folks that haven't opened an IRA yet. If you already have one, no need to sweat. I just did this for a lady yesterday. We've opened the IRA this year (in my firm's case and some others, no money is required-check to make sure) and will decide closer to April 15th of next year how much we will contribute. Don't put off till next year opening the Roth if you haven't yet. You got till next Wednesday :) @PT

My Journey is right. The account has to be established before year-end so that you can contribute for the 2008 tax year.

For example, you cannot open an IRA on January 1, 2009 and then make a contribution for 2008. Keep in mind that this is only for folks that haven’t opened an IRA yet. If you already have one, no need to sweat.

I just did this for a lady yesterday. We’ve opened the IRA this year (in my firm’s case and some others, no money is required-check to make sure) and will decide closer to April 15th of next year how much we will contribute.

Don’t put off till next year opening the Roth if you haven’t yet. You got till next Wednesday :)

]]>