What are the Contribution Limits for a Traditional and Roth IRA?
For the 2025 tax year, the IRS sets specific contribution limits for both traditional and Roth IRAs. These limits apply to individuals and married couples filing jointly, with adjustments for those age 50 or older.
Contribution Limits for 2025
- Single filers or married filing separately (if spouse has no IRA contributions): The maximum contribution limit is $7,000. If you are age 50 or older, the limit increases to $8,000.
- Married filing jointly: The combined contribution limit for both spouses is $14,000. If one spouse is age 50 or older, the limit is $15,000. If both spouses are age 50 or older, the limit is $16,000.
These limits apply to the total contributions made to all traditional and Roth IRAs combined. For example, if you contribute $4,000 to a traditional IRA and $3,000 to a Roth IRA, your total contribution is $7,000, which is within the annual limit.
Key Rules and Considerations
- Contribution Deadline: You can make contributions for 2025 by the due date (not including extensions) for filing your 2025 tax return, which is typically April 15, 2026.
- Income-Based Limits: While the overall contribution limit is based on age and filing status, Roth IRA contributions may be phased out or disallowed based on modified adjusted gross income (MAGI). Use Worksheet 2-1 in Publication 590-A to determine your eligibility.
- Non-Deductible Contributions: If you exceed the deduction limit for a traditional IRA, you may still make non-deductible contributions. These are reported on Form 8606.
For detailed guidance on calculating your contribution limits and understanding eligibility, refer to IRS Publication 590-A and Form 8606. These resources provide worksheets and instructions to help you determine your maximum allowable contributions.
Source:
Publication 590-A
Form 8606
Disclaimer: Always verify details with official Federal or State Department of Revenue Forms and Instructions.