2016 Roth IRA Cheat Sheet

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Annual Contribution Limit:

  • The lesser of your taxable compensation or $5,500
  • ($6,500 if age 50 or older)

Contribution Deadline:

  • April 15th

Contribution Age Limit:

  • None

Contribution Eligibility:

  • Up to the maximum is permitted if filing:
    • Single and MAGI is $117,000 or less
    •  Married filing jointly and MAGI is $184,000 or less
  • No contribution permitted if filing:
    • Single and MAGI exceeds $132,000
    • Married filing jointly and MAGI exceeds $194,000
      • *If married filing separately a reduced contribution limit applies but there is no contribution permitted if MAGI exceeds $10,000

Deduction Limits:

  • Roth IRA contributions are not deductible

Taxes on Distributions:

  • Qualified distributions are tax-free and penalty free

RMDs:

  • Required minimum distribution rules only apply to Roth beneficiaries

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