Deductible contribution

Deductible contribution

Amount paid into an IRA, an employer-sponsored retirement plan, or other type of retirement plan for a particular tax year that is a deduction from income for tax purposes.

Deductible Contribution

A contribution that one may place into an IRA, 401(k), or other retirement plan each year that can reduce one's taxable income by the same amount. That is, the deductible contribution is the portion of one's retirement contribution that is tax deductible. The IRS generally sets the limits on deductible contributions. For example, the limit on deductible contributions for 401(k) plans was $16,500 in 2009.
References in periodicals archive ?
If you are currently making a monthly tax deductible contribution to WILPF via credit card, your future statements will reflect the Peace Development Fund as the vendor.
As we come to the close of 2010, please consider making a tax deductible contribution to the Foundation for scholarships and education.
Is timing of the initial deductible contribution an important factor?
On the other hand, you can make a $2,500 deductible contribution to an HSA and withdraw that $2,500 tax-free to pay for the doctor's bills.
Another advantage: of contributing by allotment is the convenient record of your tax deductible contribution. You will receive a copy of Your individual Retiree Account Statement reflecting the allotment shortly after it is initiated.
Can we advise these people that the entire amount of the check is considered a deductible contribution?
Beginning in 1997, the Act provides that a deductible contribution of up to $2,000 may be made to an IRA for a nonworking spouse.
One possible way to do so, however, even at this late date, is to make a deductible contribution to a retirement plan.
You have until April 15 to open an IRA and make a deductible contribution for the prior year.
If you are interested in making a tax deductible contribution to the Betty F.
31 to obtain special tax credits and deductions for the current tax year, second, even if you do have a plan, you need to be aware of pension changes that may allow you to take advantage of potentially higher tax deductible contribution levels.
any amount of the gross income, without limitation, which pursuant to the terms of the governing instrument is, during the taxable year, paid for a purpose specified in section 170(c)."Thus, for the trust or estate to take a deduction, the distributee charity must meet the same requirements as one receiving a deductible contribution from an individual or corporation, but the deduction available to a trust and estate is unlimited.