Traditional IRA

• Contributions may be deductible from your gross income on your federal income tax return for the tax year for which the contributions are made.


• Earnings grow on a tax-deferred basis


• Deductible contributions and earnings are subject to federal income tax when withdrawn.


• The Saver's Credit may provide a tax credit for those who 保存 for retirement. You may be able to take a credit of up to $1,000 – up to $2,000 if filing jointly. The credit applies to the first $2,000 contributed to a traditional IRA, 罗斯IRA, 简单的爱尔兰共和军, or 401(k) account by reducing the amount of federal income tax you owe dollar for dollar. However, it is 不 a refundable tax credit. The credit ranges from 10% to 50% of your contributions and is based on several factors including your filing status, adjusted gross income, and tax liability. Special rules apply.

参观 国税局 website or talk to your tax advisor for more information.

You can make annual contributions to a Traditional IRA of up to $6,500 for 2023 ($7,000 for 2024) or 100% of your earned income, whichever is less. Current law permits most couples to contribute up to $6,500 for 2023 ($7,000 for 2024) each to their IRAs as long as their combined compensation is at least $13,000 in 2023 ($14,000 in 2024).

This allows a spouse with lower or no compensation to take advantage of the tax savings offered by an IRA. The annual contribution limits apply to the combination of all of your Traditional and 罗斯IRAs.

If you are age 50 or older, you may make an additional $1,000 "catch-up" contributions to your IRA.

You can make contributions to a traditional or 罗斯IRA from Jan 1st to December 31st for the current tax year. You may also make contributions for the prior tax year from January 1st up to the tax filing deadline, excluding extensions, which is generally April 15th. For a prior year contribution a tax year designation must be postmarked by the current year’s income tax filing deadline, which is generally April 15th.

If you are covered by a retirement plan at work, use this table to determine if your income affects the amount of your deduction.

Combined Modified Adjusted Gross Income

If you are 不 covered by a retirement plan at work but your spouse is, these deduction ranges apply to you:

注意: If you are married filing separately with a spouse who is covered by a plan at work, partial deduction is available if the MAGI is less than $10,000 and no deduction if the MAGI is $10,000或更多. For other filing status, including married filing jointly or separately with you and your spouse 不 covered by a retirement plan, full deduction is available up to the contribution limit.

Distributions may be taken at any age — in specific amounts, as a lump sum, or as a series of systematic payments. Distributions are taxed at ordinary income tax rates for the year the distribution was made. Distributions taken before age 59½ are generally subject to the 10% tax penalty. You are required to start taking Required Minimum Distributions (RMD) from your Traditional IRA by April 1 of the year following reaching 73 years of age.

在一般情况下, you have 60 days from the date you receive an IRA or retirement plan distributions to roll it over to a不her eligible plan or IRA.

You may make only one IRA tax-free rollover in a rolling 12-month period, regardless of the number of IRAs you own. This includes traditional, Roth, SEP, and 简单的爱尔兰共和军s.

The following transactions are 不 subject to the one rollover per 12-month limitation:

• IRA to IRA transfers
• 滚动 made from or to an employer retirement plan (i.e. 401(k) to an IRA or IRA to a 401(k))
• Conversions (i.e. funds from traditional IRA moved directly or within 60 days to 罗斯IRA)