8 Financial Dates and Deadlines in May 2021

by akoloy

Photo by NicoElNino / Shutterstock.com

Life strikes shortly. It’s straightforward to get distracted. But that may be expensive.

Miss an vital monetary date or deadline, and you could possibly be on the hook for a penalty or lose out on a limited-time alternative to economize.

Enter our “Money Calendar” sequence.

In this version, we’ve rounded up the noteworthy cash dates in May 2021. Take a glance and mark your calendar with any dates that apply to you.

May 17 — 7 earnings tax deadlines

This is the federal deadline for:

  1. Filing 2020 returns or requesting an extension: If you’re unable to file by May 17, you may request an extension until Oct. 15. Just remember the fact that it’s solely an extension for submitting your return. It doesn’t provide you with extra time to pay, so anticipate to incur late penalties and curiosity costs for those who don’t pay by May 17.
  2. Contributing to a person retirement account (IRA) for the 2020 tax 12 months: This applies to each conventional and Roth IRAs. The base contribution restrict for these accounts for 2020 is $6,000. Folks who’re 50 or older can also make a further “catch-up” contribution of $1,000.
  3. Paying the ten% penalty on early withdrawals from IRAs or office retirement plans: To study this penalty, try “3 Tax Penalties That Can Ding Your Retirement Accounts.”
  4. Contributing to well being financial savings accounts (HSAs) — that are a sort of tax-advantaged account for folks with high-deductible medical insurance — for the 2020 tax 12 months: The base contribution restrict for these accounts for 2020 is $3,550 for folks with self-only protection and $7,100 for these with household protection. People who’re 55 or older could make a further contribution of $1,000.
  5. Contributing to Archer medical financial savings accounts (Archer MSAs) — that are one other kind of account that provides tax advantages to assist offset well being care prices — for the 2020 tax 12 months. You can be taught extra about such accounts in IRS Publication 969: Health Savings Accounts and Other Tax-Favored Health Plans.
  6. Contributing to Coverdell schooling financial savings accounts (Coverdell ESAs), which you’ll be able to be taught extra about in IRS Topic No. 310: Coverdell Education Savings Accounts.

Most states even have prolonged their earnings tax deadline to May 17. The American Institute of Certified Public Accountants breaks down the small print in a chart on its website.

May 29-31 — Texas Energy Star Sales Tax Holiday

Just as some states provide back-to-school gross sales tax holidays, throughout which they waive gross sales taxes on purchases like college provides, some states provide Energy Star tax holidays. During these durations, gross sales taxes are waived for merchandise which have earned the federal Energy Star certification for his or her effectivity.

Texas’ 2021 Energy Star Sales Tax Holiday falls on Memorial Day weekend. Lists of merchandise that do and don’t qualify for the tax break can be found on the Texas comptroller’s website.

Disclosure: The info you learn right here is at all times goal. However, we typically obtain compensation while you click on hyperlinks inside our tales.

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