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Retirement Accounts

Traditional IRA

A traditional IRA is a retirement plan that allows tax-deductable contributions to workers under the age of 70½.

Who can contribute?

Anyone with an earned income and under the age of 70½ can contribute. For married couples filed jointly, a nonworking spouse can also contribute.

Are there contribution limits?

For 2013, workers under the age of 50 can contribute up to $5500 of their earned income. For workers 50 or older, the maximum contribution is $6500.

Deductability Limits for Traditional IRA Contributions
Year Age 49 and Below Age 50 and Above
2013 $5500 $6500
2014 $5500 $6500

Is there a contribution deadline?

Contributions to your traditional IRA account must by made by April 15th in order to qualify for a prior year contribution.

To learn more about retirement strategies or for a free second opinion, Contact Us.

Disclosure: If converting a Traditional IRA to a Roth IRA, you will owe ordinary income taxes on any previously deducted Traditional IRA contributions and on all earnings. A conversion may place you in a higher tax bracket than you are now. Because Roth IRA conversions may not be appropriate for all investors and individual situations vary, we suggest you discuss tax issues with a qualified tax advisor.

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