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[expand title=”Traditional IRA”]

In 2019, the maximum contribution to a traditional IRA for a single individual is $6,000, with an additional $1,000 (total of $7,000) if you are age 50 or older by December 31st. [Contributions are not allowed after age 70 ½.]

Any individual, married or single, who is not eligible to make deductible IRA contributions, may make non-deductible IRA contributions up to the contribution limit of $6,000 per tax year ($7,000 if over age 50), regardless of AGI or participation in an employer-sponsored retirement plan.

Your Tax Filing Status Is:	Your Taxable Adjusted Gross Income:	2018 Traditional IRA Tax-Deductibility Limits:
Single or head of household or married filing separately and you did not live with your spouse at any time during the entire year (covered by a retirement plan at work)	Beneath $64,000	Full Deduction
	Between $64,000 and $74,000	Partial deduction
	Above $74,000	No Deduction Allowed
Married filing jointly combined income (only one spouse is covered by a retirement plan at work)	For the spouse not covered by a retirement plan at work:
	Less than $189,000	Full Deduction up to the maximum
	Between $189,000 and $199,000	Your deduction starts to phase out
	More than $199,000	No deduction allowed
	For the spouse who is covered by a retirement plan at work:
	Less than $103,000
	Between $103,000 and $123,000
	More than $123,000
Married filing jointly (both spouses are covered by a retirement plan at work)	Less than $103,000	Full Deduction up to the maximum
	Between $103,000 and $123,000	Your deduction starts to phase out
	More than $123,000	No deduction allowed
Married filing separately (if either spouse participates in a work plan)	Between $0 and $10,000	Partial deduction
	Above $10,000	No deduction allowed for either spouse

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[expand title=”SEP IRA”]

For 2019, the annual contributions an employer makes to an employee’s SEP-IRA cannot exceed the lesser of: 25% of compensation or $56,000.

Contributions must be made in cash (not stock) and can be made up until the tax filing deadline for the company, including extensions, for the tax year to which the qualifying contribution for SEP IRA will apply.

A SEP IRA must be established by April 15 of the current year for it to apply to the previous year.

Note: the contribution limit for self-employed persons is more complicated; barring limits, it is approximately 18.6% of net profit.

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[expand title=”ROTH IRA”]

You may be able to contribute to a Roth IRA for yourself or your spouse if you have earned income that falls below the following limits:

Filing Status	AND Your Adjusted Gross Income is …	Then you can contribute …
Single, head of household, or married filing separately and you did not live with your spouse at any time during the year	Less than $122,000	You can contribute up to $6,000 ($7,000 if you are age 50 or older)
	At least $122,000 but less than $137,000	The amount you can contribute is reduced
	$137,000 or more	You cannot contribute to a Roth IRA
Married filing jointly or qualifying widow(er)	Less than $193,000	You can contribute up to $6,000 ($7,000 if you are age 50 or older)
	At least $193,000 but less than $203,000	The amount you can contribute is reduced
	$203,000 or more	You cannot contribute to a Roth IRA
Married filing separately and lived with your spouse at any time during the year	Less than $10,000	You can contribute a reduced amount
	Equal to or more than $10,000	You cannot contribute to a Roth IRA

A ROTH IRA must be established by April 15th of the current year.

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[expand title=”SIMPLE IRA”]

An employee may tax-defer up to $13,000 for 2019. Employees over age 50 are allowed to make catch-up contributions of up to $3,000 (for a total of $16,000). Employees who are age 70 ½ or over may make salary deferral contributions to their SIMPLE IRAs and employers must continue to make matching contributions. However, an employee who is age 70 ½ must also begin to take required minimum distributions from the account.

Employee contributions to a SIMPLE IRA plan are not deductible by participants from their income on their Form 1040. Employee salary reduction contributions to a SIMPLE IRA are not included in the “Wages, tips, other compensation” box of Form W-2, Wage and Tax Statement, and are not reported as income on your Form 1040.

The plan needs to be in place by September 30th to make contributions for the current year.

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[expand title=”SOLO 401(k)”]

The limit on employee elective deferrals (for traditional and safe harbor plans) is:

• $19,000 in 2019 ($18,000 in 2015 – 2017, $18,500 2018)
• The $19,000 amount may be increased in future years for cost-of-living adjustments

Generally, you aggregate all elective deferrals you made to all plans in which you participate to determine if you have exceeded these limits. If a plan participant’s elective deferrals are more than the annual limit, find out how you can correct this plan mistake. Catch-up contributions for those age 50 and over at the end of the calendar year, if permitted by the 401(k) plan, is $6,000 in 2015 – 2016.

A Solo 401(k) must be in place by December 31st of the current year.

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Neither Amerisal Financial, Lucia Reynolds, not SCF Securities offer legal or tax advice. This material is not intended to replace the advice of a qualified tax advisor or attorney. Please consult legal or tax professionals for specific information regarding you individual situation.

It is possible that these rules may change in the future. Please see www.irs.gov for current information.