☰
✕
Sign In

Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
Level 1
posted Mar 4, 2024 9:42:07 AM

Question about contributing to previous year in SEP IRA

As far as I know, I can contribute to the previous year's SEP IRA until April 15th this year. So, technically, in March of this year, I am going to contribute X amount for 2023 and Y amount for 2024. Unfortunately, my investment app doesn't have an option to select the year for the contribution. My question is, for tax purposes, what do I need to do on TurboTax to inform the IRS that I want the X amount to be allocated for 2023 and the Y amount for 2024?

0 1 247
1 Replies
Expert Alumni
Mar 4, 2024 9:57:35 AM

This is pretty common.  The IRS requires your financial intuition to report the contributions on the date made, irrespective of the year for which they are intended as a contribution. 

That is, in part, because it's really the company making the contribution, rather than the individual.  Your own records will be sufficient to show which year the amounts are for, should the IRS ever inquire.  

If you need more time, please note that SEP-IRA contributions are one of the few types of retirement plan contributions that can be made as late as October so long as you timely file an extension for your personal tax return.