{"id":231837,"date":"2016-11-02T13:18:40","date_gmt":"2016-11-02T20:18:40","guid":{"rendered":"http:\/\/getrichslowly.org\/blog\/?p=231837"},"modified":"2019-12-16T22:59:53","modified_gmt":"2019-12-17T06:59:53","slug":"savers-tax-credit-explained","status":"publish","type":"post","link":"https:\/\/www.getrichslowly.org\/savers-tax-credit-explained\/","title":{"rendered":"The savers tax credit explained"},"content":{"rendered":"

\"savers<\/p>\n

A little known tax credit can help you save for retirement, even if you feel you don’t have the money to do so.<\/p>\n

The formal name is the Retirement Savings Contributions Credit. Most people, however, know it simply as the Saver’s Credit, a two-timing savings strategy that reduces taxes and increases retirement.<\/p>\n

By the numbers, here is how the Saver’s Credit works: Let’s say you pay yourself $2,000 in a qualified retirement plan, such as an IRA or 401(k). If your adjusted gross income is within a certain range (see chart below), the IRS allows you to receive a tax credit up to 50 percent of that contribution or, in this example, $1,000.<\/p>\n

Say it ain’t so, Joe.<\/p>\n

It’s true. In essence, you get paid for paying yourself.<\/p>\n

<\/span>Savers Tax Credit Eligibility<\/strong><\/span><\/h2>\n

In order to receive the tax credit, you do need to meet certain requirements.<\/p>\n