Can I still make a 2025 IRA contribution?
Yes. IRA owners have until their tax-filing deadline, April 15, 2026, to make a 2025 IRA contribution. The IRS requires that IRA owners make an irrevocable written election when they make these prior-year contributions. A prior-year contribution is any contribution made between January 1 and April 15 for the preceding year.
Can my spouse make an IRA contribution if they aren’t working right now?
Yes. If a working spouse has enough eligible compensation, a nonworking spouse can contribute to their own IRA as long as the couple files a joint federal tax return. For 2025, the IRA contribution limit is $7,000 per person ($8,000 if age 50 or older). The couple’s total IRA contributions cannot exceed their combined taxable compensation. For example, if the working spouse earns $7,000, the couple could contribute up to $7,000 total between their two IRAs (e.g., $7,000 to one spouse’s IRA or $3,500 each). If the working spouse earns at least $14,000, each spouse can contribute the full $7,000 to their own IRA.
Can I contribute my full contribution limit to an IRA if I have 401k?
Yes, you can contribute to both a 401(k) and an IRA but you must stay within both accounts' contribution limits.
Do I have to report IRA contributions on my tax return?
Form 5498 reports IRA contributions, rollovers, Roth IRA conversions, and required minimum distributions to the IRS. Carolina Trust FCU as your IRA trustee or custodian is the one responsible for mailing Form 5498 to the IRS, along with a copy to you. If you didn't make any contributions, you won't receive a form. The form is required to be filed by May 31st the year following to which the contributions were made. Always keep a copy of Form 5498 with your tax records.
