You can contribute to a traditional IRA regardless of how much money you make. However, you don't qualify to open or contribute to a Roth IRA account if you make too much money. No, there is no maximum income limit for a traditional IRA, and anyone can contribute to a traditional IRA, including those who wish to invest in an IRA backed by Gold. While a Roth IRA has a strict income limit and people with incomes above it can't contribute at all, that rule doesn't apply to a traditional IRA. There are no income limits for making contributions to a traditional IRA.
Your ability to make deductions may be affected by your marital status and by your participation in an employer's retirement plan. Your traditional IRA contribution deduction is also limited if you contribute to a workplace retirement account. As with a traditional IRA, you can deduct the money you contribute to an HSA from your taxable income, reducing your tax bill. If you don't meet the later deadline, you can still fix it by reducing next year's contributions by the excess amount.
While there is no general limit for contributing to a traditional IRA, there are income limits for tax-deductible contributions. However, unlike a standard account, the money you provided is tax-free, because you didn't deduct it when you deposited it. 59 and a half years old may not be considered an important birthday, but in IRS circles it stands out as the age at which people are allowed to start withdrawing money from their IRAs. IRA account renewals and transfers don't count as contributions, so they won't affect your ability to fund an IRA.
If you qualify for both types, make sure that the amount of your combined contribution does not exceed the annual limit. In addition to the general contribution limit that applies to both Roth and traditional IRAs, your contribution to the Roth IRA may be limited depending on your reporting status and income. If your income exceeds certain thresholds, you may not be eligible for a Roth IRA or your contributions may be limited. However, your age, income, and other retirement accounts may allow you to save more or require you to contribute less.
While you can make non-deductible contributions to a traditional IRA no matter how much money you make, you are subject to an income limit for deductible contributions if you or your spouse have access to an employment retirement plan. If neither you nor your spouse (if any) participate in a work plan, your traditional IRA contribution is always tax-deductible, regardless of your income. If neither you nor your spouse have a retirement plan at work, your contributions (up to the annual maximum) are fully deductible. Traditional IRAs don't have this rule, as do other types of IRAs, such as SEP IRAs and SIMPLE IRAs, which are often used by self-employed individuals and small business owners.
