Purpose of IRS Form 5498

By Peter Sweetser

IRS Form 5498 provides you with a tax-year summary of your Individual Retirement Account (IRA). It has several purposes such as reporting:

1. The contributions you made to your IRA for the particular tax year.

2. Rollovers.

3. Conversions made to a Roth IRA.

4. The Fair Market Value of the account as of 12/31/XX.

5. Required Minimum Distributions (RMDs).

a. Whether or not an RMD is required for the current year.

b. If yes, it will detail the amount.

FAM Funds is required to file your form annually with the IRS and we send you a copy. The primary reason that you receive your Form 5498 copy in May is for you to compare your prior year contributions to the amount FAM Funds reports to the IRS. This information is included on the document.

Please call me at 800-453-4392, option 2 or e-mail sweetser@famfunds.com if you have any questions about Form 5498 or retirement plans.

Please see Fenimore disclosure.