I've been reading GRS for quite a while now, but just recently decided to check out the forums.

I'm looking to start a Roth IRA and from what I've read, I should be able to contribute $10,000 this year *if* I contribute the first $5,000 by April 17th and claim it as late 2011 contributions (since I didn't fund an IRA at all in 2011). However, while I can find plenty of articles on the web about *why* I should contribute retroactively, none seem to mention *how* you go about doing so.

1) How do I designate IRA contributions as "last year" instead of this year? Is this something I do when I setup the brokerage account or is this info claimed via tax forms?

2) Since I've already filed my 2011 taxes (via TurboTax Online, if that makes any difference), will doing this require amending my 2011 return? I initially assumed this info was claimed on the 1040 forms, however I've been reading up on that topic today and can't seem to find a consistent answer. I've also seen info that implies that "you don't file anything to the IRS for a Roth IRA when you contribute, only when you withdraw" and IRS document 590 makes reference to using form 8606 for non-deductible contributions (which seems to describe Roth IRA contributions, but it isn't under the Roth specific chapter so that may not actually apply to those).

2a) If I do need to amend my return, do I need to amend state as well (NC) or just federal?

When you fund your IRA with your broker there will be a place to designate that contribution as "2011" or "2012".

There is a place on tax forms to state that you made a 2011 Roth IRA contribution, but it generally doesn't affect anything, so I doubt it is necessary to amend it. I'm certainly no expert on that though.

Thanks...that info helps. Hopefully more people will have input on the tax return portion.

However, your reply reminds me of something I left out that may be relevant. My deductions are virtually non-existent (no dependents, no mortgage, no notable medical expenses, etc.) so my 2011 tax return used the standard deduction and actually got filed as a fairly simple 1040EZ as a result.

What Panda said about the contribution. When you contribute there's a checkbox to tell your brokerage what year it's for.

I just looked at the 1040EZ and didn't see anywhere that you could enter a Roth contribution. So if that's correct, you should be fine there.

Thanks to both of you for the info. As of this evening I now have a Roth IRA account with Vanguard and as soon as the bank transfer goes through I'll have $4000 contributed for the 2011 tax year (into an S&P 500 Index Fund for now).

If your income is below a certain level you can get a "savers" credit for contributing to an IRA. Check the income limits, and if that applies it may be worth the money to amend your 2011 return.

Otherwise, no need to amend 2011.

Although, most tax software will track your ROTH IRA basis (contributions). This is information only and not reported to the IRS, but when you prepare 2012 be sure to enter your prior contributions. Its good to know your basis because contributions to a ROTH can always be distributed tax and penalty free.

According to the IRS website (http://www.irs.gov/publications/p590/ch05.html), the AGI limit for this credit for "single" filers is $28,250 which is a bit below my 2011 AGI, so I guess that rules that out. Thanks for the tip, though.