Contributing to a Roth IRA

Contributing to a Roth IRA

Who is Eligible?
You must have eligible income/compensation to contribute to a Roth IRA. The current maximum contribution is the same as a traditional IRA, $5,500 or $6,500 if you are at least 50 years old by December 31, 2016.

Are There Other Contribution Limits?
Yes. If your MAGI is over a certain amount for your filing status, your ability to contribute to your Roth IRA will be reduced. Your retirement distribution expert can help you determine your allowable contribution.

Can I Still Contribute to My Roth IRA Even Though I’m Over 70½?
Assuming you meet the other qualifications, yes. Unlike traditional IRAs, eligible contributions may be made to your Roth IRA regardless of your age.

May I Still Contribute to My Roth IRA as an Active Participant in My Workplace Plan?
Yes. Being an active participant in your workplace retirement plan doesn’t impact your ability to contribute to your Roth IRA.

Are My Roth IRA Contributions Deductible?
No. Roth IRA contributions are never deductible on your tax return.

May I Make Contributions to the Roth IRA I Inherited from My Sister?
No. Non-spouse beneficiaries are not permitted to make contributions to an inherited Roth IRA (or traditional IRA).

Source: www.irs.gov

More Updates

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admin April 22, 2020
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