12 Evergreen Drive,
Use this page as a resource for answers to some of your most commonly asked questions. If you can't find your answer here, give us a call at the office and we'd be happy to help!
- $6000 for 2022 if your are under the age of 50 yrs old
- $7000 for 2022 if you are 50+ yrs old- as Catch-Up
72 Years Old
Eligibility to contribute to a Roth IRA depends on your overall income. The IRS limits that restrict high earners. The limits are based on your modified adjusted gross income (MAGI).
MAGI is calculated by taking the adjusted gross income (AGI) from your tax return and adding back deductions for things like student loan interest, self-employment taxes, and higher education expenses.
In 2022, you can contribute the full amount if you are single and your MAGI is less than $129,000. If you make more than that, the maximum contribution decreases as your MAGI goes up to the maximum of $144,000. If you are married and filing jointly, the limits will be $204,000 and $214,000, respectively.
Most people will qualify for the maximum contribution of $6000, or $7000 for those ages 50+. If your MAGI is in the Roth IRA phaseout range, you can make a partial contribution. You can't contribute at all if your MAGI exceeds the limits.
The IRS updates the Roth IRA Income limits every year to account for inflation and other changes. IRS Publication 590-A provides a worksheet to figure out MAGI and the allowable contribution amounts.
The IRS generally announces the amounts and limits for IRA contributions and eligibility for the next tax year around the fourth quarter (Q4) of the previous tax year, so amounts for 2023 should become available around Q4 2022.