age limit for contributing to a roth ira
You may only contribute to a Roth IRA if you make less than a certain amount of money: $132,000 for single filers and $194,000 for married couples. The maximum annual direct contribution to a Roth IRA is $5,500 unless you are age 50 or over in which case it is $6,500. Note: The article below refers to the 2016 tax year. You have until the tax filing deadline–April 17, 2017–to make a 2016 contribution. Contribution limits will stay the same for 2016, but income limits increased slightly. When it comes to a Roth IRA, “rules” is a subjective term. You may contribute simultaneously to a Traditional IRA and a Roth IRA (subject to eligibility) as long as the total contributed to all (Traditional and/or Roth) IRAs totals no more than $5,500 ($6,500 for those age 50 and over) for tax year 2016 and no more than $5,500 ($6,500 for those age 50 and over) for tax year 2017. Limits on Roth IRA contributions based on modified AGI. Your Roth IRA contribution might be limited based on your filing status and income. 2017 - Amount of Roth IRA Contributions You Can Make for 2017. 2016 - Amount of Roth IRA Contributions You Can Make for 2016. Your Roth IRA contribution might be limited based on your filing status and income. 1  2017 - Amount of Roth IRA Contributions You Can Make for 2017. 2  2016 - Amount of Roth IRA Contributions You Can Make for 2016. A Roth IRA is an IRA that, except as explained below, is subject to the rules that apply to a traditional IRA. 1  You cannot deduct contributions to a Roth IRA. 2  If you satisfy the requirements, qualified distributions are tax-free. 3  You can make contributions to your Roth IRA after you reach age 70  ½. Direct contributions to a Roth IRA (principal) may be withdrawn tax and penalty-free at any time. Earnings may be withdrawn tax and penalty-free after 5 years if the condition of age 59½ (or other qualifying condition) is also met. 2016–2017 Roth IRA Contribution Limits. You make Roth IRA contributions on an after-tax basis. Use the charts below to see how much you can contribute based on your income. Differences from a traditional IRA. In contrast to a traditional IRA, contributions to a Roth IRA are not tax-deductible. Withdrawals are tax-free under certain conditions (for example, if the withdrawal is only on the principal portion of the account, or if the owner is at least 59½ years old). Quick Summary. 1  You may only contribute to a Roth IRA if you make less than a certain amount of money: $132,000 for single filers and $194,000 for married couples. 2  The maximum annual direct contribution to a Roth IRA is $5,500 unless you are age 50 or over in which case it is $6,500.
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