Most investors with Individual Retirement Accounts (IRAs) are unaware of the upcoming April 15 contribution deadline, according to a survey released today by Fidelity Investments. Of those surveyed who own IRAs, 62% did not know about the deadline. Of the total 1,007 people surveyed, which included people who do not own IRAs, 84% were unaware of the deadline.
Further, 56% of the people owning IRAs and 76% of the total were unaware that they could contribute up to $2,000 in an IRA every year, according to Fidelity. And 80% said they did not know that the limit has increased to $3,000 in 2002 and to $3,500 for those age 50 or older.
"The important thing for people to remember is to make a contribution every year, even if you are unable to contribute the maximum amount," said Bob Corcoran, VP of Retirement Services at Fidelity, in a statement. "If a 30-year-old fails to invest $2,000 in an IRA this year, he could potentially miss out on an additional $34,593 when he retires at age 65."