Little Known IRS Form For Getting Tax Credit

Published on July 18, 2013

.  If you qualify the government will apply a credit of up to $0.50 for every dollar you invest in a retirement savings account; since this applies to the first $2000 of your retirement contributions in a year, the maximum credit is $1000.

To qualify for this credit an individual must not make more than $29,500 a year and a married couple filing jointly cannot make more than $57,500 a year.  To see all of the qualifying requirements for this credit visit the IRS website and search form 8880.  This form is a great way to help generate tax savings which can then be used to help your savings for retirement grow even faster. In turn, this will help those individuals be more prepared for retirement when the time comes.

Saving for retirement is incredibly important and the more you can put away now the better off you’ll be when it comes time to retire. At Next Generation Trust Services  we are here to help answer questions you or someone you know might have about self-directed retirement plans which is our specialty area.