Roth Contribution Totals

[Guest Steve22]

Hello,

I have two simple questions that I may be making more difficult than they really are.

1. How much did I contribute to my Roth for tax year 1999?

2. What were my net Roth contributions for 1998?

The details:

1. I contributed $1500 to my Roth with "Company A" from 5-98 to 12-98.

2. I contributed $500 to same Roth from 1-99 to 3-99.

3. I closed "Company A" Roth and rolled over funds to "Company B". Here is what my "Company B" statement says:

4-6-99 Rollover contribution 1999 $1500

4-6-99 IRA Contribution Year 1998 $500

4-6-99 IRA Contribution Year 1999 $2000

I told "Company B" I wanted the $500 to count towards the $1500.

I recently received 1999 FORM 5498 (IRA Contribution Info.) from "Company A" which says: Roth IRA Contributions $500.

I have never withdrawn any funds other than to rollover within 60 days.

Thanks for any assistance.

[BPickerCPA]

I don't see any problem in what you posted. You put $4K into the Roth, $2K each for '98 and '99.

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Barry Picker, CPA/PFS, CFP

New York, NY

[John G]

I reach a different conclusion, but the facts are easily confused. Here goes:

"1. I contributed $1500 to my Roth with "Company A" from 5-98 to 12-98. 2. I contributed $500 to same Roth from 1-99 to 3-99."

"I recently received 1999 FORM 5498 (IRA Contribution Info.) from "Company A" which says: Roth IRA Contributions $500."

The answer to the 1998 question is found in the above. The $1500 must be 1998, but the $500 will only be credited to 1998 if you designated it to the prior year and the custodian correctly designated the contribution. Looks like from the statement you got from "A" they assumed the $500 was for 1999. You may want to attach a letter to your tax return listing the contributions and the designated years since you are unlikely to get a former custodian to make a correction.

"3. I closed "Company A" Roth and rolled over funds to "Company B". Here is what my "Company B" statement says:

4-6-99 Rollover contribution 1999 $1500

4-6-99 IRA Contribution Year 1998 $500

4-6-99 IRA Contribution Year 1999 $2000"

This statement does not make a lot of sense. You told us the total account was rolled over, therefore you should see $2000 plus earnings as a rollover. I am not sure why they would know anything at all about your $500 contribution or why they would credit it to 1998 when "A" thinks it is 1999. The last line is also puzzling. You did not say you deposited any additional checks. Did you perhaps make a $2000 additional deposit that you did not mention in your post? If not, then this record is wrong.