Helpful information to know about a tax credit available for certain taxpayers.
Employees who contribute to a 401(k), 403(b), governmental 457 or SIMPLE IRA plan, or to a traditional or Roth IRA, might be able to take advantage of the Saver's Credit, a tax credit of up to $1,000 ($2,000 if married filing jointly) for certain taxpayers.
The credit is equal to 50%, 20% or 10% of an individual's contribution, depending on his or her adjusted gross income. The table below shows the income limits to claim the credit for 2021.
This and other important information is provided by us to your employees through our Retirement Insights newsletter and on our website, mutualofamerica.com.If you or your employees have questions about the Saver's Credit or saving for retirement, please call your local Mutual of America representative today.
*Single, married filing separately or qualifying widow(er).
The tax information contained herein is for informational purposes only. You should consult your financial adviser or attorney regarding your individual circumstances.