Year-End Rules for IRAs
Individual Retirement Accounts (IRAs) are a common way to save for retirement. If you currently have an IRA, or are considering opening one soon, there are several year-end rules that you should know.
- Contribution Limits: You may contribute up to a maximum of $5,500 ($6,500 if you are age 50 or older) to a traditional or Roth IRA annually.
- If you file a joint return, you and your spouse can each contribute to an IRA even if only one of you has taxable compensation.
- In some cases, you may need to reduce your deduction for traditional IRA contributions. This rule applies if you or your spouse has a retirement plan at work and your income is above a certain level.
- The deadline for making IRA contributions for 2018 is April 15, 2019.
The contribution limits for Roth IRAs can be found below.
We are happy to answer any questions you might have about IRA contributions. Feel free to contact us at firstname.lastname@example.org.
Newburg & Company, LLP