24 February 2015
Tax Credit to Save for Retirement
Please read this memo & Form 8880 to find out if you might qualify for the Saver’s Credit!
The Saver’s Credit was established to help low- to moderate- income earners save for retirement by providing an additional credit toward tax liability on top of existing retirement savings incentives. You may qualify to file for the Saver’s Credit when you submit your annual federal income tax return if you contribute to your 401k, have a qualifying Adjusted Gross Income (AGI), and meet other factors as outlined in the attachment. Please note, the maximum credit is $1,000 related to $2,000 of qualified contributions.
Contact a professional tax advisor or Click Here or to find out more about the Saver’s Credit on IRS.gov.