Simple IRA contributions
Have a client who is a Simple IRA participant. he is realizing he should have contributed more thru the year and is asking if he can write a check and deposit into account. Someone has indicated he can with some paperwork. Your opinion?
Could he ask his employer to contribute 100% of his last payroll check into the account? Will not be where he wants it to be but could help.
Permalink Submitted by Alan - IRA critic on Mon, 2020-12-21 16:12
While a SIMPLE plan might provide more frequent election periods than just annually, I have never heard of one that allowed monthly election periods, and for December it is now too late for that anyway. He cannot write a check either as these are salary reduction contributions. Client should concentrate on the annual election for 2021 and get that right for next year.