Form 5498 Guide on IRA Contributions and Rollovers

If you added money to an IRA or moved funds between retirement accounts, Form 5498 is the official record of those actions. Your IRA custodian files this form directly to the IRS and also sends you with a copy. It shows your total contributions, any rollovers or Roth conversions, the account’s year-end fair market value, and whether you’ll need to take a required minimum distribution (RMD) next year.

You don’t include this form with your tax return. Even so, reviewing it matters. It helps you confirm your contributions stayed within the limit, and it shows whether your rollovers and conversions were reported correctly. Most importantly, it lets you double-check that your records match what the IRS sees.

In 2025, custodians send out Form 5498 after the tax filing deadline. This guide walks you through what the form includes, when to expect it, and why it’s worth reviewing, especially if you made contributions, rollovers, or conversions during the year.

📌 Also read: Tax Extensions: Filing, Rules, & Deadlines for 2024 & 2025

Why Form 5498 Matters in 2025

Form 5498 is more than just paperwork. It’s an official IRS record that confirms how much you contributed to your IRA, whether you rolled over or converted funds, and what your account was worth at the end of the year. Your IRA custodian (not you) files this form directly with the IRS and also sends you a copy for your records.

This matters because the IRS uses Form 5498 to cross-check your retirement activity with other forms, like Form 1099-R for distributions. It also uses the data to determine if you’ve met contribution limits, properly reported conversions, and whether you must start taking required minimum distributions (RMDs) next year.

What the IRS Looks for on Form 5498

The IRS treats your custodian’s version of this form as the official record. That means if there’s a mistake, it could affect your tax filings even if it wasn’t your fault.

✅ Contribution type – Confirms how much you contributed and whether it went into a traditional IRA, Roth IRA, or SEP IRA. Also includes catch-up contributions if you’re age 50 or older.

✅ Rollovers and conversions – Shows whether any movement of funds was a rollover, Roth conversion, or recharacterization. Each type has different tax consequences.

✅ Fair market value (FMV) – Reflects your account balance as of December 31. This helps determine RMD obligations for the following year.

✅ RMD indicator – Flags whether you’re required to start taking distributions. This is based on your age and account type.

✅ Late or prior-year contributions – Verifies that any IRA contributions made between January and the tax filing deadline were correctly applied to the intended tax year.

📝 Note: If the custodian makes an error (e.g, marking a Roth contribution as traditional or misreporting a rollover), it could lead to incorrect taxes, missed deductions, or future reporting issues.

Why You Should Review Your Copy

Even though you don’t send this form with your tax return, it’s important to go over it carefully. Make sure that:

If you find an error, contact your custodian as soon as possible and ask for a corrected Form 5498. This helps ensure that what the IRS sees matches your records.

📝 Note: The IRS’s instructions make it clear that custodians are responsible for filing this form. But if something is wrong, it’s up to you to catch it and request a fix.

Key Boxes Explained — Contributions, Rollovers, FMV, and RMD Flags

Form 5498 can look intimidating at first, but most of the action happens in a few key boxes. These boxes tell the IRS how much you contributed, whether you rolled over or converted funds, and what your IRA was worth at year-end. They also flag if you’re approaching the required minimum distribution (RMD) age.

Reviewing each of these sections carefully helps ensure your records match what the IRS sees.

📌 For a detailed, box-by-box breakdown, see the IRS Instructions for Forms 1099-R and 5498 (2025). 

Traditional, Roth, SEP, and SIMPLE Contributions – Boxes 1, 8, 9, 10

These boxes reflect how much was contributed to your IRA and what type of plan received the money. Each box serves a different purpose.

✅ Box 1 – Reports how much you contributed to a traditional IRA for the tax year. The IRS uses this to verify your annual limit and check if you’re eligible to deduct the contribution on your tax return.
✅ Box 8 – Shows employer contributions made to a SEP IRA, including amounts applied to the prior year.
✅ Box 9 – Lists employer contributions to a SIMPLE IRA, also allowing for certain contributions made after the year ended.
✅ Box 10 – Captures Roth IRA contributions made for the year. These do not qualify for a deduction, but are tracked for basis and earnings growth.

📝 Note: Contributions made between January and the tax filing deadline can be designated for the prior year. Make sure the correct tax year is shown in each box. A mismatch could lead to excess contribution issues or misreported basis.

It’s a good idea to check each entry against your IRA statements or confirmations. That way, you’ll know if contributions went to the right type of IRA and were applied to the correct year.

Rollovers, Conversions, and Recharacterizations – Boxes 2, 3, 4

When you move money between retirement accounts, the IRS needs to know how it happened. These three boxes clarify whether the transfer was tax-free, taxable, or reclassified.

✅ Box 2 – Reports rollover contributions, such as moving funds from a 401k, 403b, or another IRA. This includes both 60-day rollovers and direct rollovers. These are not treated as new contributions.
✅ Box 3 – Reports Roth conversions from a traditional IRA. Conversions are generally taxable and must be tracked separately from rollovers.
✅ Box 4 – Reports recharacterizations, where you change the type of contribution (e.g., switching a Roth IRA contribution to a traditional IRA contribution). This is different from a conversion and includes earnings tied to the original amount.

📝 Note: Roth conversions made after 2017 can no longer be recharacterized. So if you see a conversion reported in Box 4, it may need correction.

Be sure that each type of transaction is listed in the correct box. A conversion accidentally marked as a rollover or a missing recharacterization could lead to IRS mismatch notices or tax errors.

Fair Market Value and RMD Indicator – Box 5 and Box 11

These boxes don’t involve contributions or transfers. Instead, they focus on the value of your account and whether you are expected to start taking required minimum distributions soon.

✅ Box 5 – Shows the fair market value (FMV) of your IRA as of December 31. This includes all assets, even hard-to-value ones. The number here influences your RMD calculation for the following year.
✅ Box 11 – A checkbox that simply says whether you’re required to take an RMD next year. It does not show the amount or the deadline.

📝 Note: The IRS does not require custodians to report the exact RMD amount on Form 5498, but you should still receive a separate RMD notice each year. Also, watch this box closely if you’re turning 73 in 2025 or later. That’s when RMDs typically begin under current IRS rules.

If Box 11 is checked and you’re not yet at RMD age, it may be an error. Similarly, if Box 5 leaves out part of your account’s value, especially alternative or illiquid investments, it’s worth asking your custodian for clarification.

Deadlines and Action Steps for Taxpayers and Custodians

Form 5498 follows a unique timeline. Unlike many tax forms that arrive before the filing deadline, this one comes after. That’s because it needs to reflect any IRA contributions made through the April deadline that still count for the prior year.

For 2025, the form arrives in two parts. First comes a year-start statement that shows your IRA’s fair market value and required minimum distribution (RMD) status. The second part is the actual Form 5498 showing contributions, rollovers, conversions, and more.

📌 Also read: General Instructions for Certain Information Returns (2025) | IRS

What Custodians Must Do

IRA custodians are responsible for preparing and filing Form 5498 with the IRS and sending copies to account holders. Here’s what’s required:

✅ Early-year FMV and RMD statement

Sent at the start of the year, this statement shows your account’s December 31 value and whether you’re subject to RMDs. It must also disclose hard-to-value assets if applicable. If no contributions were made, a second form may not be required, so long as this first statement includes a specific notice that fulfills the IRS rule.

✅ Post-deadline contribution reporting

Form 5498 is sent after the April tax deadline to make sure any prior-year IRA contributions made between January and April are correctly captured.

✅ IRS filing deadline

Custodians must file Form 5498 with the IRS by the information return deadline, usually at the end of May. If the date falls on a weekend or federal holiday, it shifts to the next business day. They may use Form 8809 to request a 30-day automatic extension for filing, and Form 15397 to extend the deadline for sending participant copies.

✅ E-filing thresholds

Starting in 2025, custodians must e-file if they file 10 or more information returns across all form types. The IRS IRIS portal is available for secure electronic filing.

What IRA Owners Should Do

Even though you don’t file Form 5498 with your return, it’s still important to review it closely.

✅ Match each entry to your records

Check that every contribution, rollover, conversion, or recharacterization is in the right box, for the correct tax year and IRA type. Also review the year-end value and any RMD flags.

✅ Keep with your tax records

Form 5498 can support deductions, justify basis tracking, and confirm what’s been reported to the IRS. Keep it with documents like Form 8606 if you made nondeductible or Roth contributions.

✅ Ask for corrections if needed

If anything looks off, contact your custodian right away and request a corrected Form 5498. Custodians are required to make corrections “as soon as possible” when errors are found.

Common Errors to Watch Out For

Even small reporting issues can cause big headaches. Here are some of the most common mistakes the IRS highlights:

❌ Missing or incorrect asset information (Boxes 15a/15b)

If your IRA holds hard-to-value assets like real estate or private stock, your custodian must list those in Box 15a and include the correct code in Box 15b. Leaving this section blank or using the wrong code can trigger compliance issues.

Box 15 codes include:

❌ Wrong year or category for contributions

A common issue is marking a current-year contribution as a prior-year one, or vice versa. Mislabeling a Roth conversion as a rollover is another frequent error.

❌ RMD information missing or incorrect

Box 11 and the annual RMD notice are easy to overlook. If the RMD flag is missing or inaccurate, you could miss a required distribution and face penalties.

How to Request a Corrected Form

If you notice any mistake, here’s what to do:

📝 Note: The IRS allows for de minimis corrections under certain thresholds, but most errors involving contribution types, rollovers, or valuations must be corrected.

Wrapping It Up

Form 5498 isn’t filed with your tax return, but it still plays an important role in keeping your retirement records accurate. Reviewing contributions, rollovers, and fair market value details can help confirm that your 2025 IRA activity was reported correctly and that IRS records match your own.

It’s a good habit to check the form soon after receiving it, especially if you made late contributions, rollovers, or Roth conversions. Verifying the RMD checkbox is also helpful if you’re nearing age-based withdrawal rules. If anything looks off, contact your custodian early to avoid future tax notices or penalties.

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