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Time to Catch Up If You Didn’t Fund Your 2025 IRA

Column distributed by Hearst Connecticut Media Group.

Links to resources referenced:

  • IRS: Retirement topics - IRA contribution limits
  • IRS Form 8880: Credit for Qualified Retirement Savings Contributions
    • https://www.irs.gov/pub/irs-pdf/f8880.pdf 
      • Related column excerpt:
        • “Do take the time to see if you qualify for the credit by using IRS Form 8880. For instance, you will not qualify if your ‘adjusted gross income’ (the amount on Form 1040, line 11a) is more than $39,500 ($59,250 if head of household; $79,000 if married filing jointly). Read more at the IRS webpage on the Retirement Savings Contribution Credit.”
  • IRS: Retirement Savings Contributions Credit (Saver’s Credit)
  • ICI News Release: “Answering President Trump’s Call to Strengthen the US Retirement System”
    • https://www.ici.org/news-release/answering-president-trumps-call-to-strengthen-the-us-retirement-system 
      • Related column excerpt:
        • “According to the Investment Company Institute (ICI), 70% of all U.S. households (94.4 million) own a defined contribution plan account (401(k), 403(b)) or an IRA. About 2 out of 5 (44%) U.S. households have IRAs (data as of 2024), a big improvement from a decade ago when only 1 of 3 US households had IRAs. As of September 2025, 401(k) plans ‘served 70 million active participants, as well as millions of retirees.’ Overall, retirement assets totaled $48 trillion in the third quarter of 2025.”
  • ICI Statistical Report: Quarterly Retirement Market Data, Third Quarter 2025
    • https://www.ici.org/statistical-report/ret_25_q3 
      • Related column excerpt:
        • “According to the Investment Company Institute (ICI), 70% of all U.S. households (94.4 million) own a defined contribution plan account (401(k), 403(b)) or an IRA. About 2 out of 5 (44%) U.S. households have IRAs (data as of 2024), a big improvement from a decade ago when only 1 of 3 US households had IRAs. As of September 2025, 401(k) plans ‘served 70 million active participants, as well as millions of retirees.’ Overall, retirement assets totaled $48 trillion in the third quarter of 2025.”
  • IRS: File an amended return
    • https://www.irs.gov/filing/file-an-amended-return  
      • Related column excerpt:
        • “And if you already filed your return for tax year 2025 and are just now making an IRA contribution for that year? Consult with your tax adviser about whether you need to file an amended return (1040-X). Additional information is available at the IRS webpage ‘File an amended return.’”