Retirement Plan Funding Deadlines

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Employer funding deadlines for retirement plan contributions

In order for to deduct employer contributions to a retirement plan, contributions must be deposited by the due date of the employer’s tax return, including extension.  See charts below for deadlines by entity type.

Employer Funding Deadlines (for December 31 year-ends)

Entity Type Due Date Due Date (extended)
S-Corp March 15 September 15
C-Corp March 15 September 15
LLCs & LLPs
(treated as partnership)
April 15 September 15
Sole Proprietor April 15 October 15
September 15 for DB/CB Plans
Not-For-Profits October 15 N/A

 

Employer Funding Deadlines (for non-calendar year-ends)

Entity Type Due Date Due Date (extended)
S-Corp 2.5 months after YE +6 months
C-Corp 2.5 months after YE +6 months
LLCs & LLPs
(treated as partnership)
3.5 months after YE +5 months
Sole Proprietor 3.5 months after YE +6 months
+5 months for DB/CB Plans
Not-For-Profits 10.5 months after YE N/A

 

*Reminder:  The maximum allowable deduction in any given year is 25% of eligible compensation.

Contributions Funded After Tax Return Deadline

Contributions can in-fact be deposited after the tax return due date.  Generally, employer contributions made no later than 30 days after the extended due date can count towards the prior year (for purposes of annual additions/compliance testing).  However, those contributions would be tax deductible in the current year. Additionally, you have up to 12 months to deposit certain types of corrective testing related contributions (such as QNECs or QMACs to correct ADP/ACP failures).  But keep in mind, if these contributions are made after the extended tax return due date, they would be deductible in the current year.

If you have any questions about the due date for plan contributions, please do not hesitate to reach out to our team at info@wealthqb.com.

 


The opinions expressed are either those of Gordon Asset Management, LLC (GAMLLC) and subject to change without notice, or were developed from sources believed to be providing accurate information. This material is not financial advice or an offer to sell any product.  Past performance is not indicative of future results. This material is not financial advice or an offer to sell any product. GAMLLC reserves the right to modify its current investment strategies and techniques based on changing market dynamics or client needs. Gordon Asset Management is an SEC-registered investment adviser. Registration does not imply a certain level of skill or training. More information about the adviser, its investment strategies and objectives is included in the firm’s Form ADV, which can be obtained, at no charge, by calling (866) 216-1920. The principle office of Gordon Asset Management, LLC is located at 1007 Slater Road, Suite 200, Durham, North Carolina, 27703.

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Todd Zempel, known as "Z", has over 12 years of extensive industry experience. Prior to taking over retirement plan operations for the Gordon Asset Management, Z spent a decade as a TPA and record-keeper. Z holds the Accredited Investment Fiduciary Analyst (AIFA) designation Qualified 401(k) Administrator (QKA) designation, and is a Certified Plan Fiduciary Adviser (CPFA). Z was voted one of the nation’s top 50 retirement plan advisors under the age of 40 in 2015.