IRS Form 5498

Why did I receive Form 5498? Federal law requires TIAA-CREF to report deductible and nondeductible contributions, conversions, recharacterizations and rollovers you made in 2011 (and year 2011 contributions remitted between January 1 and April 17, 2012). These amounts are indicated on Form 5498. Form 5498 also reports the Fair Market Value (FMV) of your IRA contract(s) as of December 31, 2011.

back to top Why is there a check in box 11 of Form 5498? This is to alert you to take a required minimum distribution (RMD). Once you reach age 70½, federal law requires that you take a minimum distribution from your TIAA-CREF Traditional, Rollover or SEP IRA account(s). When you are taking your first payment in the calendar year after you turn 70½, two distributions are required for that year. The first payment must be taken by April 1 and the second by December 31. Your total annual required distribution must be withdrawn by December 31 of that year.

back to top What are the IRA contribution limits?Generally, contributions are based on earned income. Earned income includes all the taxable income and wages you receive from working. In addition, a phased-out income level may further reduce the contribution limits. Read IRS Publication 590 for further details.

For the 2011 and 2012 tax years, the maximum IRA contribution amount is $5,000 for each year, or $6,000 if you are age 50 or older.

back to top I received a refund of an IRA Excess Contribution, but Form 5498 still reflects my entire contribution. Will I receive a revised Form 5498? No. TIAA-CREF is required to report the entire contribution, including the excess contribution amount, to the IRS. However, you will receive IRS Form 1099-R to reflect that your IRA Excess Contribution was refunded or applied to next year's contribution.

back to top My Brokerage IRA information was not listed on Form 5498. When will I receive this information?You will receive a separate Form 5498 from Pershing LLC (the custodian for TIAA-CREF Brokerage IRAs) by May 31. For more information please call TIAA-CREF Brokerage Services at 800 927-3059.

back to top Do I have to attach Form 5498 to my income tax return?No. You are not required to do anything with Form 5498 because it is for informational purposes only.

back to top How do I determine the basis of my IRA?If this is your first year to contribute to an IRA, your basis begins with zero. Otherwise, enter the results from line 14 for Traditional IRA and the results from line 22 for Roth IRA from Form 8606 and adjust for:

  • Return of excess contribution
  • Transfers or any distribution(s)
  • Recharacterization or conversion of IRA funds
  • The rollover of any nontaxable portion of your qualified employer plan

Or simply use the Fair Market Value (FMV) from your quarterly statement. Read IRS Publication 590 for further details. back to top How do I determine the nondeductible amount of my IRA?File IRS Form 8606 to determine the taxable amount of a Traditional or Roth IRA. You are required to complete IRS Form 8606 if you:

  • Remitted nondeductible IRA contributions
  • Converted IRA funds
  • Recharacterized IRA funds
  • Received distribution(s) of nondeductible IRA funds
  • Received Roth IRA distribution(s) (qualified and nonqualified)
  • Received first-time homebuyer distributions of up to $10,000 of the expenses from the Roth IRA contract

back to top How do I determine the taxable amount of my conversion?IRS Form 8606 is used to determine the taxable amount due to a conversion. On Form 8606, you must enter the amount of the conversion, the original amount of any recharacterized funds, and your basis in the conversion. Your conversion and recharacterization confirmation statement(s), along with your quarterly statement(s), contain the information necessary to help you complete this form. Please see Part II of Form 8606 for detailed instructions.

back to top How do I read Form 5498?The following information will help you understand the form.

IRA Contributions
This row reports contributions (deductible and nondeductible) to a Traditional IRA for the 2011 tax reporting year. If you contributed to your Traditional IRA between January 1 and December 31, 2011, you should receive Form 5498 by January 31, 2012. If you contribute to your Traditional IRA between January 1 and April 17, 2012, and you designate these contributions for the 2011 tax reporting year, you will receive a new or reissued Form 5498 by May 31, 2012. The Internal Revenue Service requires you to report nondeductible contributions on IRS Form 8606, Nondeductible IRAs.

Rollover Contributions
The aggregated amount in this row may include:

  • Direct rollovers (for example, your eligible rollover assets from another financial institution that are directly rolled over to a TIAA-CREF IRA)
  • 60-day rollovers (for example, you received an eligible rollover cash distribution and remitted the funds to a TIAA-CREF IRA within 60 days from the distribution date)

Roth IRA Conversion Amount
This row reports the aggregated amount of funds converted from a Traditional, Rollover or SEP IRA to a Roth IRA. Please review your transaction confirmation statement(s) and quarterly statement(s) for detailed breakdowns of all transactions applicable to your IRA contract(s).

Recharacterization Contributions
This row reports the aggregated amount of recharacterized contributions transferred to your IRA. Please review your transaction confirmation statement(s) and quarterly statement(s) for detailed breakdowns of all transactions applicable to your IRA contract(s).

Fair Market Value
This row reports the fair market value (FMV), which is the total accumulation of an IRA contract as of December 31, 2011. If a decedent is shown as a participant, the executor or administrator of the decedent's estate may request the FMV as of the date of death.

SEP Contributions
This row reports SEP contributions made in 2011, including contributions made in 2011 for 2010, but not including contributions made in 2012 for 2011.

Roth IRA Contributions
This row reports contributions to a Roth IRA for the 2011 tax reporting year. If you contributed to your Roth IRA between January 1 and December 31, 2011, you should receive Form 5498 by January 31, 2012. If you contribute to your Roth IRA between January 1 and April 17, 2012, and you designate these contributions for the 2011 tax reporting year, you will receive a new or reissued Form 5498 by May 31, 2012.

IRA Type
The Traditional, Roth or SEP IRA row will be checked to identify the type of IRA reported.

back to top Where can I find specific information regarding Form 5498?The instructions included with the U.S. Individual Income Tax Return (IRS Form 1040 or 1040A) and IRS Publication 590, Individual Retirement Arrangements (IRAs), give additional information on reporting requirements for your IRA. You may obtain this information by visiting www.irs.gov.

If you have additional questions, call us at 800 842-2252.

back to top

The tax information contained herein is not intended to be used, and cannot be used, by any taxpayer for the purpose of avoiding tax penalties that may be imposed on the taxpayer. It was written to support the promotion of the products and services addressed herein. Taxpayers should seek advice based on their own particular circumstances from an independent tax advisor.

TIAA-CREF Individual & Institutional Services, LLC and Teachers Personal Investors Services, Inc., members FINRA, distribute securities products.

Web seminars are best viewed using a high speed Internet connection (such as DSL, ISDN, or cable access). Macromedia Flash Player 6.0.79 or higher, or Macromedia Flash Player 7 or higher for Linux and Solaris is required.

© 2013 and prior years, Teachers Insurance and Annuity Association - College Retirement Equities Fund (TIAA-CREF), New York, NY 10017