Many of us associate April with taxes. We should also associate it with IRAs, for April is the month with the deadlines for IRA contributions and mandatory IRA withdrawals.
The deadline for your 2011 IRA contribution is April 17, 2012. Yes, April 17. This year, April 15 is a Sunday and April 16 falls on a holiday in the District of Columbia (Emancipation Day). So you get a little extra time to make your 2011 contribution if you (still) haven’t done so.
For tax years 2011 and 2012, you can contribute up to $5,000 to your Roth or traditional IRA. If you have multiple IRAs, you can contribute up to a total of $5,000 across the various accounts. (If you earn a lot of money, your maximum contribution to a Roth IRA may be reduced because of MAGI phase-outs.)
One exception: If you turned 50 in 2011, your Roth or traditional IRA contribution limit for 2011 is $6,000. If you will celebrate your 50th birthday during 2012, your 2012 contribution limit to your Roth or traditional IRA is $6,000.
You get 15½ months to make your IRA contribution for a given tax year. You can make your 2012 IRA contribution at any time until Monday, April 15, 2013.
Have you already made your IRA contributions for 2011 and/or 2012? Good for you. Hopefully, you contribute the maximum annually and make your contribution at the start of the year. The earlier that money is invested, the longer it can work for you.Page 1 of 4 | Next Page