What types of contributions are eligible for the savers credit?
A-5: Salary reduction contributions to the following arrangements are eligible for the credit: a 401(k) plan (including a SIMPLE 401(k)), a section 403(b) annuity, an eligible deferred compensation plan of a state or local government (a “governmental 457 plan”), a SIMPLE IRA plan, or a salary reduction SEP. The saver’s credit is also available for voluntary after-tax employee contributions to a tax-qualified retirement plan or section 403(b) annuity. For purposes of the credit, an employee contribution will be “voluntary” as long as it is not required as a condition of employment. Finally, the saver’s credit is available for contributions to a traditional or Roth IRA. An amount contributed to an individual’s IRA is not a contribution eligible for the saver’s credit if (1) the amount is distributed to the individual before the due date (including extensions) of the individual’s tax return for the year for which the contribution was made, (2) no deduction is taken with respect to the con
