Some Important Dates and Deadlines for October

The long, hot summer is finally over. The crispness in the morning air means that Fall is finally here. For most people, the beginning of Fall means football, leaves changing colors and Thanksgiving. But, For those of you who file for extensions, Fall means Tax Time.

October 15th, is the last day to make prior year contributions for SEP and Simple IRAs, if you filed for extensions. I’ve been getting a lot of phone calls from concerned clients hoping to make contributions to their Roth and Traditional IRAs. I thought I would take a second to explain the contribution rules as they apply to the tax deadlines.

Prior year contributions for Roth and Traditional IRAs are due by April 15th of the following year. This means that contributions for Roth IRAs and Traditional IRAs are no longer accepted after April 15th. If you missed out on the contribution deadline this year, make sure you plan ahead, so that you don’t make the same mistake.

As the end of the year approaches, here are a couple other dates to keep in mind… December 31st is the date that you will use to determine your Fair Market Value (FMV) for your assets for the year. This means that you will need to determine what your asset or investment is worth on December 31, and provide Sunwest Trust with that value as your Fair Market Value. December 31st is also the last day to take your Required Minimum Distribution (RMD) if you are over the age of 70 ½ (unless you turned 70 ½ this year, in which case you will have until April 15th to take your first RMD).

Another date to keep in mind is March 31st, which is the last day to turn in your FMV to Sunwest Trust. FMV worksheets will be sent to you in January. This will give you plenty of time to fill them out.

If you have questions about Fair Market Values, Required Minimum Distributions, Contribution Deadlines or Contribution Limits, please consult a CPA or tax attorney.