How Can We Help?
< Back
You are here:
Print

Resuming contributions to my IRA

Posted
Last Updated On
ByRegmacc

L1: Resuming contributions to my IRAI began my SEPP in January of my 55th year (2008) and terminated my SEPP plan January of this year. So my plan was in force for 7 full years. Question: Can I now resume contributions to my IRA without incurring a penalty?2015-09-04 14:49, By: Regmacc, IP: [50.121.47.136]
L2: Resuming contributions to my IRAYou could have even made IRA contributions to a SEPARATE IRA account while taking SEPP 72-T distributions. This often happens when people’s circumstances change. You probably needed additional cash flow for several years, and now your financial circumstances have improved significantly.
If you are in the 15% tax bracket, I suggest that you consider setting up a ROTH IRA for your new contributions.2015-09-04 15:00, By: dlzallestaxes, IP: [98.114.199.232]

L3: Resuming contributions to my IRAActually, your SEPP plan ended after 5 years, which was over 2.5 years ago. As such, since that time you were under no restrictions at all.
Treating the plan as active after it has ended will not jeopardize your plan, but you might have taken distributions you did not need to or limited your distributions unnecessarily when you needed more, or apparently did not make contributions you could have made.2015-09-04 21:26, By: Alan S, IP: [160.3.87.235]

Table of Contents