Don't miss this IRA opportunity before April 15th

As tax season moves into full swing, residents in East Tennessee and Kentucky have a final opportunity to strengthen their retirement savings before the upcoming federal deadline.

At Vantage Point Financial Planning, we are reminding savers that April 15, 2026, serves as the final cutoff for making Individual Retirement Account contributions for the 2025 tax year. This deadline applies to both Traditional and Roth IRAs.

Taking advantage of this window is one of the ways to help build a long-term foundation. Even if you cannot reach the maximum limit, every dollar contributed can have the potential for long-term growth.

For the 2025 tax year, the IRS allows individuals under age 50 to contribute up to $7,000. Those age 50 or older are eligible for a "catch-up" contribution, bringing their total limit to $8,000.

Investors generally choose between two primary paths:

• Traditional IRA: This may offer an immediate tax deduction depending on the individual’s income and participation in employer-sponsored plans.
• Roth IRA: While these contributions are made with after-tax dollars, the assets grow tax-free, and qualified withdrawals in retirement are also tax-free.

Be aware of common pitfalls. The filing for a tax extension does not grant more time to make IRA contributions. Additionally, savers must be careful to designate the correct tax year when making contributions between January and April to avoid clerical errors or missed opportunities.

For those looking to help simplify the process for the current 2026 year, we suggest setting up automatic monthly contributions. This strategy can help improve growth potential while reducing the stress of a single year-end payment.

For more information on contribution eligibility or to determine which IRA fits your specific income situation, contact a Vantage Point advisor at our Knoxville, Oneida, or Somerset offices.