Now that Treasury Secretary Steven Mnuchin has extended the 2019 tax filing date to July 15, the deadline for making a 2019 contribution to an individual retirement account or Roth IRA is automatically extended to July 15. Normally there is no extension for making a prior year IRA contribution beyond the April 15 filing date for that year’s tax return, even if the IRA owner files for an extension.
This will be extremely helpful. Many people make prior year IRA contributions at the last minute, even in normal times. Given the current dire circumstances, it might be tough to get those checks into IRAs if advisers’ offices are either closed or working with skeleton crews.
One administrative issue
If you have clients who will be making 2019 IRA or Roth IRA contributions after April 15 (but by July 15), make absolutely certain that the contribution is earmarked for 2019. Some financial institutions may have systems in place to code any IRA contribution made after April 15, 2020, as a 2020 IRA contribution. Watch out for this for your clients. Make sure clients mark their checks as 2019 IRA contributions.
[More: No stretch IRA? No problem]
For more information on Ed Slott, Ed Slott’s 2-Day IRA Workshop and Ed Slott’s Elite IRA Advisor Group, please visit www.IRAhelp.com
Siddharth Jawahar was sentenced 11 years in prison and $31M in restitution for running Swiftarc Capital fraud scheme
Wall Street banks expand wealth services as ultra-high-net-worth client demands extend further above and beyond investment management.
The acquisition of $2 billion Gilbert & Cook extends a buying spree for the ultra-high-net-worth firm that has already touched six states this year.
After years of encouraging sacrifice and delayed gratification, advisors have to do the next emotional lift: helping clients let go of a potentially harmful scarcity mindset.
A new JPMorganChase Institute report reveals how deeply stock market wealth now drives everyday American spending, especially for retirees.
Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains
Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income
