Can I still make an IRA contribution for the 2018 tax year?
Yes, provided you meet the eligibility requirements and you’re still under the annual contribution limit. The last day to open a new IRA or contribute to an existing IRA for the 2018 tax year is Monday, April 15, 2019.
When making your contribution, please indicate whether it’s for the 2018 or 2019 tax year.
- Open a new Vanguard IRA®
- Contribute to your existing IRA on our website
- Contribute to your existing IRA through our mobile app
- Take ownership of an inherited IRA
Investing by mail?
Regular U.S. mail
Registered, certified, or overnight mail
How much can I contribute to my retirement account?
For the 2018 tax year, the contribution limits for IRAs (both traditional and Roth) and employer-sponsored retirement plans are listed below.
For the 2019 tax year, you can take advantage of higher contribution limits for IRAs (both traditional and Roth) and employer-sponsored retirement plans. Note the higher limits for those age 50 and older.
2018 contribution limit
2019 contribution limit
Traditional and Roth IRAs
Traditional and Roth IRAs (age 50 and older)
401(k) and 403(b) plans
401(k) and 403(b) plans (age 50 and older)
Note: You can never contribute more than you’ve earned for the year.
When will I get my Vanguard mutual fund or brokerage tax forms?
Your Vanguard mutual fund and brokerage account tax forms are available. Please visit our tax-filing information page to learn when specific tax forms will be ready.
If you’ve added tax forms to your Vanguard e-service package, you won’t receive paper copies. Instead, we’ll send you an email as soon as the forms are available online in your secure Tax Center.
If you still receive paper copies of your tax forms by mail, you should get them shortly after they’re posted online.
Notes about Form 1099-DIV and Form 1099-B
- You won’t see any dividend or capital gains distributions for your investment if the total amount for the year was less than $10, unless you had taxes withheld.
- If you own Vanguard Real Estate Index Fund, you’ll receive your Form 1099-DIV and Form 1099-B, if applicable, for this fund in February 2019 when the fund’s return of capital is calculated.
- If you own Vanguard Managed Payout Fund, you’ll receive your Form 1099-DIV and Form 1099-B, if applicable, for this fund in February 2019 when all income reallocations are completed.
Why am I receiving two 1099 tax forms?
If you upgraded to a Vanguard Brokerage Account in 2018, you’ll receive two sets of 2018 tax forms: one set in January (for your mutual fund accounts) and another set in February (for your brokerage account). You may need both to report your state and local tax liability.
With a few exceptions, you’ll likely receive one 1099 Consolidated Form for all of your mutual fund and brokerage holdings beginning next year.
Will I get a tax form for my Vanguard Variable Annuity?
You’ll receive a 2018 1099-R tax form if you took a withdrawal from your Vanguard Variable Annuity in 2018.
When will I receive my 2018 1099-R for my Vanguard Variable Annuity?
All Vanguard Variable Annuity tax forms will be mailed by January 31, 2019.
Can I see my tax form for my Vanguard Variable Annuity online?
No. Tax forms for the Vanguard Variable Annuity are not available online.
Did my funds distribute capital gains in 2018?
Finalized year-end dividend and capital gains distributions for Vanguard funds are now available:
- Distributions for Vanguard mutual funds »
- Distributions for Vanguard ETFs® »
- View your personal dividends and capital gains »
The interest income on municipal bonds is generally exempt from federal taxes and from state taxes in the state of issuance. Interest on certain private activity bonds may be subject to the Alternative Minimum Tax (AMT).
Municipal bonds, when purchased at a discount, may subject investors to capital gains taxes when sold or redeemed. Consult a tax professional for additional information.
A certain percentage of dividend income from your stock mutual funds may qualify for a reduced rate. You can use our Qualified Dividend Income calculator to determine your personal QDI.
Note: In March 2019, some Vanguard funds may report “supplemental” income dividends or capital gains distributions for 2018. Because they’re taxable for the year in which they’re declared, any supplemental distributions made this year are taxable for the 2019 tax year and will be reported on the 2019 tax forms you’ll receive next year. If this applies to you, you won’t receive updated tax forms this year.
What are RMDs, and how do I schedule my distributions?
Generally, if you’re age 70½ or older, you’re required to withdraw a minimum amount each year from your tax-deferred retirement accounts, including IRAs (with the exception of Roth accounts) and qualified employer-sponsored retirement accounts. (IRAs and defined contribution plans have some differences in required minimum distribution (RMD) timing requirements. For more details, check out the IRS’s RMD comparison chart.)
Failure to take your RMD by the deadline—generally, before market close on December 31 or by April 1 of the year following the one in which you reach age 70½—may result in a hefty IRS penalty.
Once you reach age 70½, Vanguard will automatically calculate your RMD for you each year for your tax-deferred IRAs and employer-sponsored retirement accounts held at Vanguard. However, you’ll need to contact us to actually make the withdrawals.
To make the RMD process simpler, you can schedule automatic RMD withdrawals using our free service. If you don’t need your RMD for living expenses, you can keep it working for you by immediately reinvesting it in an existing Vanguard nonretirement account.
What’s new for the 2018 tax year?
Vanguard started charging wire fees on most accounts on February 15, 2018
- For mutual fund accounts, we assess the wire fee in addition to your redemption proceeds. That means you’ll see a separate $10 redemption amount on your Form 1099-B, 1099-R, or 1099-Q. However, if you redeemed your entire fund balance, we reduced your redemption proceeds by the fee amount.
- For brokerage accounts, we reduced your redemption proceeds by the fee amount.
Section 199A dividends now show on Form 1099-DIV
- The 2018 Tax Cuts and Jobs Act allows certain business entities to take a deduction of up to 20% of qualified business income.
- If applicable, you’ll see these Section 199A dividends from income paid by real estate investment trusts (REITs) and widely held fixed investment trusts (WHFITs) in Box 5 on your 1099-DIV.
- Please consult a tax advisor to see if this applies to you. If you don’t see any amounts reported in Box 5, the deduction may not be applicable to your holdings at this time. The IRS may issue additional guidance in the near future.
Why does my 1099-DIV show foreign taxes paid on a Vanguard mutual fund?
If your mutual fund has foreign investments and passed your portion of taxes paid to foreign countries, you’ll see that value reported. Dividends are grossed up to show the foreign taxes paid. You can take the foreign taxes paid as a deduction or a credit on your taxes. A credit is generally the more beneficial option, but you should check with a qualified tax professional about your individual situation.
Why did I receive a 1099-MISC?
Vanguard may loan out shares of securities held in margin accounts to short sellers. If you own one of these securities in your margin account and the security pays a dividend while it’s loaned out, Vanguard will pay you a substitute payment in lieu of the dividend. Substitute payments in lieu of dividends or interest are reported in Box 8 of Form 1099-MISC. Since these substitute payments are taxable at your marginal tax rate instead of the qualified dividend rate, Vanguard will also issue you a reimbursement grossed up to include income taxes you may incur. This reimbursement will be processed later in the year and reported in Box 3 of Form 1099-MISC.
Why are noncovered shares reported on my 1099-B?
If we have cost basis for your noncovered shares, we report it on your 1099-B, but we don’t report it to the IRS.
What should I do if I’ve forgotten my vanguard.com user name and password?
If you’ve forgotten your password, your user name, or both, you can go to our logon page and select Set up your user name and password. Once you verify your identity, you can create a new user name and password. You can then access your account using the updated user name and password.
All investing is subject to risk, including the possible loss of the money you invest.
When taking withdrawals from an employer-sponsored plan or traditional IRA before age 59½, you may owe ordinary income tax plus a 10% federal penalty tax.
Please consult an independent tax or financial advisor for specific advice about your individual situation.
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