From Retirement Now Newsletter January 6th, 2022

New Year has just begun. And if you’re like me you may be using this time of year to prioritize and plan for the upcoming year. Things like dates to mark on your calendar and such.

So what better time than to give you some dates and deadlines that pertain to your personal financial world.

Let’s just look at the big ones for the first half of the year…

Jan 1st – So we’re 5 days past this. But you can still use the new year to increase your contributions to your employer sponsored plan if you are still working and have access to one. The annual contribution limit has been increased to $20,500 (it was $19,500 in 2021). And if you are 50+ you can add an additional $6,500 on top of that.

Most of my readers are either retired or close to retirement in the final work years. If you are in your final work years it is very likely that these are your highest earning years of your career. If you can decrease your taxable income during these higher earning years that can really help you. Especially if you are close to retirement and will probably be in a lower tax bracket when you retire. So if your budget allows it, think about increasing that employer plan (i.e. 401k) contribution.

Jan 18th – Final day to pay 4th quarter 2021 taxes. This is mostly for you self-employed folks out there.

April 1st – If you turned 72 during 2021 and didn’t take your required minimum distribution from your IRA you have until this date. If it’s your first year being required to take RMD’s (i.e. you turned 72 in 2021) they give you until this date. Otherwise the RMD deadline is always 12-31 of each year. Don’t forget, you also have to take your RMD for 2022 before 12-31-2022.

Failing to take an RMD has some hefty penalties attached to it… a 50% tax on what you should have taken but neglected to. So don’t forget.

April 18th – This is the deadline to file taxes. A holiday has made it be pushed back beyond the typical April 15th.

There are more calendar deadlines later in the year. But we can save that for another day.

I think it’s good to start setting some goals at the beginning of the year.

And if taking specific goals that relate to your retirement is something you are thinking about in 2022 then I can help.

All you have to do is reach out to me by clicking here and choosing a time you’d like to have a 15 minute phone chat with me.