There will be some changes next year to how many traditional IRA rollovers within sixty days each taxpayer can make in a year. The IRS has made some new rules based on new tax court rulings which are detailed in this article in the Wall Street Journal by Karen Damato: http://blogs.wsj.com/totalreturn/2014/11/11/irs-unveils-new-ira-rollover-rules/?mod=WSJ_hpp_sections_yourmoney To be safe on the new rules, it is just easier to make a direct transfer of one IRA to another instead of messing with a rollover. It is done quickly and you don’t have to remember to go to another bank with a cashiers check to set things up within sixty days. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa
CPA Financial Musings: Is a nondeductible IRA contribution worth the trouble?
If you have a 401k and have a certain amount of income, you might not be able to contribute to a traditional or Roth IRA. If you have some additional money you want to put into retirement, there is the nondeductible IRA. Anyone with $5500 in earned income can make a nondeductible IRA contribution. The bad news – you don’t get a contribution deduction and have to track your contribution basis in the IRA. The good news – you still get tax deferred growth on the earnings in the account, just like a regular IRA. See this article in Market Watch by Kenneth Roberts for more details: http://www.marketwatch.com/story/is-a-nondeductible-ira-contribution-worth-the-trouble-2014-11-07 Anyway, over time the tax deferred earnings growth could significantly increase your earnings by not requiring you to pay tax on the earnings until you withdraw them – that is definitely a good point. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa
Burbank CPA Financial Musings: Retirement withdrawal strategies that can pay off big
When you are ready to retire, should you start withdrawing your retirement money? Should you take social security early? You need to do some planning to maximize your money and not use it up. See this article in Reuters by Linda Stern for some ideas: http://www.reuters.com/article/2014/11/05/us-column-stern-advice-retirement-withdr-idUSKBN0IP2BV20141105 It is important to remember that the planning is the key in this situation. As the article says, get a good accountant and tax professional as well as a financial planner to chart your retirement course. For financial, accounting and tax musings, You can count on us to count for you! Email: bstonercpa@sbcglobal.net Phone: 818-317-6035 Website: www.briantstonercpa.com Android and the IPhone: Has been Featured On https://twitter.com/bstonercpa