TIPS OF THE WEEK

 

10/11 - 16/11

 

 

SAVE TWICE WITH THE SAVER'S CREDIT

 

Saver's credit give a special tas break to low- and moderate -income taxpayers who are saving for retirement. This credit is in addition to the other tax benefits for saving in a retirement account. If you qualify, a Saver´s Credit can reduce or even eliminate your tax bill.

 

To claim a Saver´s Credit, you must be age 18 or older and you can't be a full-time student or be claimed as a dependent  or someone else's tax return. Your retirement contribution must have beed made during the tax year for which you are filing your return. And you must meet the income requirements.

 

In 2015, the maximun adjusted gross income for Saver's Credit eligibility is &61,000 for a married couple filing jointly, $45,750 for a head of household, and $30,500 for all other taxpayers. The maximun credit you can claim phases our as your income increases.

 

If eligible, you have until April 15th, 2015 to set up and IRA or add money to an existing IRA for 2014.