Financial Focus Consider These Types of Tax-Smart Contributions April 15 is not that far off, but you still have time were under 59 4, you could take withdrawals - physically or financially affected by COVID-19. to make some moves that could favorably affect technically called "distributions"-ofupto $100,000 your tax returns. Specifically, you may want to from your retirement accounts, such as your IRA Heres one more tax-related contribution that may and 401(k), without paying a 10%penalty. Plus, be relevant to you: a charitable gift. A few years you could include these withdrawals as taxable ago, new legislation greatly expanded the standard consider some tax-smart contributions. You have until the April 15 filing deadline to income over three years. However, you could also deduction, which led far fewer people to itemize. contribute to an IRA, or to open one for the 2020 recontribute all or part of the withdrawals back into Consequently, their charitable contributions didn't tax year. When you invest in a traditional IRA, your your retirement accounts for up to three years after provide the same tax benefit they had previously. earnings can grow on a tax-deferred basis and your taking the money. Because it's generally a good idea The CARES Act authorized an "above-the-line" contributions may be tax deductible, depending to avoid dipping into retirement accounts before deduction for cash contributions to qualified on your income level. And starting with 2020, you're retired, this ability to recontribute can be charities for those who don't itemize. For 2020, you can fund a traditional IRA past age 70%. If you invest in a Roth IRA, your contributions aren't deductible, but your earnings can grow tax free if you don't take withdrawals until you're at least you recontribute before the tax filing deadline do itemize deductions, you'll want to note that the 59% and you've had your account for five years. of April 15 (or later, if you get an extension) can CARES Act also suspended the 60% of adjusted For the 2020 tax year, you can put up to $6.00 in be excluded from your 2020 tax return, possibly gross income limit for cash gifts in 2020, a change an IRA, or $7,000 if you're 50 or older. (If you're reducing your taxes. Therefore, your recontribution that has been carried over to 2021. a high earner, your Roth IRA contributions may be can offer two potential advantages: more money in reduced or eliminated.) valuable. the maximum deduction was $300; this provision has been extended for 2021, with a new provision And here's the potential tax benefit: Any money allowing a $600 deduction for joint filers. If you your retirement accounts and a tax break this year. To learn more about how your contributions, in various forms, can affect your taxes, consult with Your tax advisor can help you determine if the your tax advisor. The more you know, the better Another type of tax-smart contribution is a "recontribution" explanation. As part of the Coronavirus Aid, Relief, in 2020 were pandemic-related and qualify for and Economic Security (CARES) Act, if you were the special treatment described above. Generally, This article was written by Edward Jones for use by affected by the COVID-19 pandemic and you you simply need to demonstrate that you were your local Edward Jones Financial Advisor. - which requires some withdrawals you took from your retirement plans your decisions. Edward Jones Michael C. Caley AAMS Pam Covington CFP" AAMS Edward Jones Edward Jones Sean P. Asiala AAMS Edward Jones Tod Heisler AAMS Edward Jones Jason Korner CFP Edward Jones Quinn Nofziger Edward Jones Gwen Ruppert Edward Jones Karen Rupert Financial Advisor 414 S. Scott Rd. Fort Wayne, IN 46814 Financial Advisor Financial Advisor Financial Advisor Financial Advisor 7030 Poinne inverness Way. Sute 120 Fort Wiyne, IN 46804 Financial Advisor Financial Advisor 7127 Homestead Rd, Sute C Fort Wayne, IN 46814 karen rupertdedwardjones.com 263-4760 Making Sense of Investing Financial Advisor 901 Chestrut Hils Parkway Fort Wayne, IN 4814 7525 West Jetferson Bivd Fort Wayne. IN 46804 6525 Constituton De Fort Wayne, IN 40804 7329 West Jetferson Blvd Fort Wayne, IN 40804 14413 linois Rd Ste E Fort Wayne, IN 46814 625-5700 Making Sense of Investing 432-0304 Making Sense of investing 478-8038 Making Sense of Investing 432-3613 Making Sense of Investing 444-3134 Making Sense of Investing 399-5853 Making Sense of Investing 625-3524 Making Sense of Investing Financial Focus Consider These Types of Tax-Smart Contributions April 15 is not that far off, but you still have time were under 59 4, you could take withdrawals - physically or financially affected by COVID-19. to make some moves that could favorably affect technically called "distributions"-ofupto $100,000 your tax returns. Specifically, you may want to from your retirement accounts, such as your IRA Heres one more tax-related contribution that may and 401(k), without paying a 10%penalty. Plus, be relevant to you: a charitable gift. A few years you could include these withdrawals as taxable ago, new legislation greatly expanded the standard consider some tax-smart contributions. You have until the April 15 filing deadline to income over three years. However, you could also deduction, which led far fewer people to itemize. contribute to an IRA, or to open one for the 2020 recontribute all or part of the withdrawals back into Consequently, their charitable contributions didn't tax year. When you invest in a traditional IRA, your your retirement accounts for up to three years after provide the same tax benefit they had previously. earnings can grow on a tax-deferred basis and your taking the money. Because it's generally a good idea The CARES Act authorized an "above-the-line" contributions may be tax deductible, depending to avoid dipping into retirement accounts before deduction for cash contributions to qualified on your income level. And starting with 2020, you're retired, this ability to recontribute can be charities for those who don't itemize. For 2020, you can fund a traditional IRA past age 70%. If you invest in a Roth IRA, your contributions aren't deductible, but your earnings can grow tax free if you don't take withdrawals until you're at least you recontribute before the tax filing deadline do itemize deductions, you'll want to note that the 59% and you've had your account for five years. of April 15 (or later, if you get an extension) can CARES Act also suspended the 60% of adjusted For the 2020 tax year, you can put up to $6.00 in be excluded from your 2020 tax return, possibly gross income limit for cash gifts in 2020, a change an IRA, or $7,000 if you're 50 or older. (If you're reducing your taxes. Therefore, your recontribution that has been carried over to 2021. a high earner, your Roth IRA contributions may be can offer two potential advantages: more money in reduced or eliminated.) valuable. the maximum deduction was $300; this provision has been extended for 2021, with a new provision And here's the potential tax benefit: Any money allowing a $600 deduction for joint filers. If you your retirement accounts and a tax break this year. To learn more about how your contributions, in various forms, can affect your taxes, consult with Your tax advisor can help you determine if the your tax advisor. The more you know, the better Another type of tax-smart contribution is a "recontribution" explanation. As part of the Coronavirus Aid, Relief, in 2020 were pandemic-related and qualify for and Economic Security (CARES) Act, if you were the special treatment described above. Generally, This article was written by Edward Jones for use by affected by the COVID-19 pandemic and you you simply need to demonstrate that you were your local Edward Jones Financial Advisor. - which requires some withdrawals you took from your retirement plans your decisions. Edward Jones Michael C. Caley AAMS Pam Covington CFP" AAMS Edward Jones Edward Jones Sean P. Asiala AAMS Edward Jones Tod Heisler AAMS Edward Jones Jason Korner CFP Edward Jones Quinn Nofziger Edward Jones Gwen Ruppert Edward Jones Karen Rupert Financial Advisor 414 S. Scott Rd. Fort Wayne, IN 46814 Financial Advisor Financial Advisor Financial Advisor Financial Advisor 7030 Poinne inverness Way. Sute 120 Fort Wiyne, IN 46804 Financial Advisor Financial Advisor 7127 Homestead Rd, Sute C Fort Wayne, IN 46814 karen rupertdedwardjones.com 263-4760 Making Sense of Investing Financial Advisor 901 Chestrut Hils Parkway Fort Wayne, IN 4814 7525 West Jetferson Bivd Fort Wayne. IN 46804 6525 Constituton De Fort Wayne, IN 40804 7329 West Jetferson Blvd Fort Wayne, IN 40804 14413 linois Rd Ste E Fort Wayne, IN 46814 625-5700 Making Sense of Investing 432-0304 Making Sense of investing 478-8038 Making Sense of Investing 432-3613 Making Sense of Investing 444-3134 Making Sense of Investing 399-5853 Making Sense of Investing 625-3524 Making Sense of Investing