Basic IRA Catch-Up contribution question
Hi
When is a person eligible to make their first catch-up contribution? Is it the year in which they turn age 50? For example, a person turns age 50 today, can they make the catch up contribution for 2014? Or is their first year they can make the catch up contribution begin the year after they turn age 50? (which would be 2015 in this example).
Thanks!
Permalink Submitted by Alan - IRA critic on Wed, 2014-01-08 21:04
It’s the year they reach 50 – even if their birthday is on 12/31. They can also make the catch up contribution anytime that year and do not have to wait until their actual birthday.