Aces High Bulletin Board
General Forums => The O' Club => Topic started by: Gunslinger on January 07, 2006, 01:28:09 PM
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Ok so I'm doing a "Tax Estimator" and there is a block for "Saver's Credit" wich is defined as:
Saver's Credit
The Saver's credit is a credit for people with low incomes who contribute to a retirement plan such as an IRA or a 401(k) plan. The credit is a percentage of contributions up to $2,000. The maximum credit is $1,000 per person.
No credit is allowed if any of the following apply.
Your adjusted gross income is more than $25,000 ($37,500 if head of household; $50,000 if married filing jointly).
You were under age 18 at the end of 2005.
You are claimed as a dependent on someone's (such as your parent's) 2005 tax return.
You were a full-time student during 2005.
You can use our Savers Calculator to estimate your credit. Take the result you get in that calculator and enter it here.
Now I deduct 5% of my pre-tax income into what the Federal Govt calls a TSP (thrift savings program) Considering I fall into that "low income" category Does my TSP fall under the "saver's credit"? Thanks in advance!
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According to this it is...and he appears to have "back filed" for previous years too. (http://fromtheinside.us/finance/TSPtaxcredit.htm)
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Thanks curv, that's exactly what I was looking for. I get the max exemption as well.