2019 IRA Contribution Deadline Has Been Extended

Due to the coronavirus tax filing extension, there’s still time to make a regular IRA contribution for 2019. You have until your tax return due date (not including extensions) to contribute up to $6,000 for 2019 ($7,000 if you were age 50 or older on December 31, 2019). For most taxpayers, the contribution deadline for…

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There’s Still Time to Contribute to an IRA for 2019 Taxes

Even though the tax filing season is well underway, there’s still time to make a regular IRA contribution for 2019. You have until your tax return due date (not including extensions) to contribute up to $6,000 for 2019 ($7,000 if you were age 50 or older on December 31, 2019). For most taxpayers, the contribution…

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2019 Q4 Market Commentary

One year ago, the market was convinced that our economy was headed for a recession and we began 2019 on the heels of one of the worst quarterly market returns in more than a decade.  This could not have been further from the truth.  Once the market figured out that a recession was not happening,…

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All about IRAs for 2020

An individual retirement arrangement (IRA) is a personal retirement savings plan that offers specific tax benefits. In fact, IRAs are one of the most powerful retirement savings tools available to you. Even if you’re contributing to a 401(k) or other plans at work, you might also consider investing in an IRA. What types of IRAs…

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What Is a Traditional IRA?

Traditional individual retirement accounts (IRAs) can be a good way to save for retirement. If you do not participate in an employer-sponsored retirement plan or would like to supplement that plan, a traditional IRA could work for you. A traditional IRA is simply a tax-deferred savings account that has several investing options and is set…

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Final Chance to Undo a 2017 Roth IRA Conversion

If you converted a traditional IRA to a Roth IRA in 2017 and your Roth IRA has sustained losses, you may want to consider whether it makes sense to undo (recharacterize) your conversion. You have until October 15, 2018, to undo your 2017 conversion.* A recharacterization can help you avoid paying income tax on IRA…

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How do I split an IRA in divorce?

When an IRA needs to be split in a divorce it’s best to use a trustee-to-trustee transfer between the spouses IRA and former-spouses IRA.  IRAs are split in accordance with the divorce decree so make sure the decree specifies the dollar amount or specific securities in the IRA that should be transferred.  Review the process…

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When Must RMDs Be Taken?

Your first required distribution from an IRA or retirement plan is for the year you reach age 70½.  However, you have some flexibility as to when you actually have to take this first-year distribution. You can take it during the year you reach age 70½, or you can delay it until April 1 of the…

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Rules of an Inherited Traditional IRA

When inheriting a traditional IRA in a non-spousal relationship, you have different options based on the age of the original account holder of the traditional IRA. If the account holder was under 70 1/2 you have three options: Life Expectancy Method: annual distributions over your life expectancy based on your age in the calendar year following…

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Making Everything Simpler & More Secure for Our Clients

Yesterday, we closed our offices so our team could attend a one-day Charles Schwab conference.  This conference offered us so much new and exciting information.  Your experience with Chesapeake Financial Advisors and with Charles Schwab will improve greatly – now – and in the coming months. Improvements have been made in several areas of client…

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