Introduction:
Hey there, savvy savers! Are you ready to turbocharge your retirement savings and potentially chop down your tax bill? The IRS has just rolled out some exciting news for low-and moderate-income earners that’s too good to miss!
What's the Buzz?
The IRS is reminding us (with a nudge and a wink) that saving for retirement isn’t just a smart move - it’s now more rewarding! Thanks to the Retirement Savings Contributions Credit, affectionately dubbed the Saver’s Credit, your 2024 tax return could look a whole lot cheerier.
The Saver’s Credit: What’s in It for You?
Here’s the scoop: if you're contributing to an IRA, a 401(k), or a similar retirement plan, you might be in line for a tax credit - yes, actual tax savings - of up to $1,000 (or $2,000 for married folks filing jointly).
Extra Perks for ABLE Account Holders
Got an ABLE account? The IRS hasn’t forgotten you. If you’re the designated beneficiary with a disability, your contributions can also earn you some credit!
Deadlines, Deadlines!
Mark your calendars! For IRA contributors, April 15, 2024, is your deadline to contribute for the 2023 tax year. For the 9-to-5 crew with workplace retirement plans, you’ve got until December 31 to make your moves!
Who Can Jump on This Savings Train?
Almost everyone can get on board! If you’re over 18, not a full-time student, and not someone else’s tax dependent, you’re in the game. Income limits apply, so check if you fit into these categories:
Married and jointly filing? Keep your adjusted gross income under $73,000.
Head of household? Your limit is $54,750.
Single or married but filing separately? Aim for an income below $36,500.
Get Expert Help! Navigating tax credits and retirement savings can be a bit of a maze. That's where Le Tax Law, PLLC comes in! Our team of tax pros is ready to help you maximize your savings and ensure you get every credit you’re entitled to. Don’t leave money on the table – book an appointment with us today, and let’s make your financial future brighter! You can book an appointment with me here.
Conclusion: So there you have it, folks! Saving for your golden years just got a little bit golden-er (is that a word?). Don’t miss out on this chance to enhance your retirement savings and enjoy some tax perks. Remember, every penny saved today is a step toward a more comfortable tomorrow!
Useful Links: