If you participate in an employer-sponsored retirement plan, you only have a few weeks left to make elective contributions to the plan. Retirement plan contributions for 2012 must be made by Dec. 31 to be tax deductible. If you haven’t already contributed up to the limit, this is your last chance to do so.
The IRS has set 2012 contribution limits as the lesser of 100% of your salary or $17,000. If you’re age 50 or over, you are also eligible to make catch-up contributions up to $5,500.
If you are an employer sponsoring a defined benefit or defined contribution plan, other rules and restrictions may apply. Contact your financial advisor or retirement plan administrator for guidance.
Per the IRS, the 2013 retirement plan contribution limit for elective deferrals is $17,500. Catch-up contributions remain the same at $5,500.
Have questions? We can help. Call us at 206-386-5455.
To your wealth,
Joe Maas, CFA, AVA, CFP®, ChFC, CLU®, MSFS, CCIM
President of Synergetic Finance