PANAMA CITY - There are several tax breaks expiring at the end of the year that you need to know about. Some of those financial deadlines have IRS penalties associated with them too.
A number of valuable tax write off opportunities are coming to an end soon and one of those is donating to charities.
The 2014 tax filing deadline may be in several months, but there are a few important financial deadlines coming up in less than a week.
Local financial planner, Steve Moss, says people over the age of 70 and a half have to take money out of tax deferred accounts like a 401k or IRA account before the end of the year.
"If you forget and you do not take out your mandatory distribution then the IRS can actually give you a penalty of up to 50% of the amount you were supposed to take out. So the penalties are pretty severe," said Steve Moss, a financial planner.
If you have an employer sponsored 401k, 457 plan or 403(b) plan, and want to contribute to that this year, that deadline also expires soon.
Looking ahead to 2014, Moss points out the stock market may be a good investment next year. The S&P 500 is up about 30% and the DOW at 25% this year, according to CNBC.
"A lot of those people that say 'man, I wish i would have invested, I wish I would have participated in the stock market in 2013, to lock in some of those gains.' don't worry, history is on your side," said Moss.
If you want to contribute to your IRA or Roth IRA, Moss says you have until April of next year.