How do I figure out the deduction for retirement
contributions?
When figuring out your annual adjusted income (gross income
– deductions), you may deduct for:
mandatory
contributions to a retirement or pension plan, and
voluntary
contributions to a retirement or pension plan or account in which the earnings
are tax-free or tax-deferred.
But you
can only deduct voluntary contributions if the combined amount of mandatory +
voluntary contributions is 7.5% or less of gross wages
No comments:
Post a Comment