IRA Contribution Deadline by Pete Mitchell

IRA Contribution Deadline

Don’t miss the IRA contribution deadline! Make sure you make your 2009 IRA contribution before April 15! With stocks performing so well these days, fully funding your IRA for 2009 (and 2010) could mean a tremendous boost toward saving for retirement.

If you’ve been contributing $50 or $100 to an IRA each month, there’s room to contribute a lot more. Putting $600 or $1,200 in your IRA annually is nice, but you can direct up to $5,000 into your IRA for tax year 2009 (and up to $6,000 if you turned 50 in 2009). This $5,000 (or $6,000) limit can be split between a traditional IRA and a Roth IRA. The maximum contribution may be reduced if your modified adjusted gross income, or MAGI, is really high.¹

As for your 2010 IRA contribution … you have until April 15, 2011 to make it, but you can also make it this year and cross it off your to-do list. There’s really no point in waiting until April 2011 to make that 2010 contribution – if you wait that long, you’ll potentially lose 15 months of interest and compounding.

Don’t delay – e-mail me today so I can help you fully fund your IRA. You may call me at 800-990-2734 or e-mail me at pete@petemitchellinc.com. I look forward to speaking with you.

¹ irs.gov/retirement/article/0,,id=202510,00.html [11/10/09]