No. of Recommendations: 0
My wife previously earned over $2000 and we fully funded her traditional IRA (married, filing jointly)? In the year 2000 she will earn more than the $250 for a spousal IRA, but possibly less than $2000. Can I still fully fund her IRA with $2000 if she makes less than $2000?
Print the post Back To Top
No. of Recommendations: 0
Greetings, Dkates, and welcome. You asked:

<<My wife previously earned over $2000 and we fully funded her traditional IRA (married, filing jointly)? In the year 2000 she will earn more than the $250 for a spousal IRA, but possibly less than $2000. Can I still fully fund her IRA with $2000 if she makes less than $2000? >>

As long as you file a joint return. only one spouse has to be making enough income to allow both spouses to make a $2K contribution to an IRA. Those contributions will be fully deductible for the nonworking spouse and may or may not be deductible for the working spouse. For details, see our IRA area at http://www.fool.com/Money/AllAboutIRAs/AllAboutIRAs.htm.

Regards..Pixy
Print the post Back To Top
No. of Recommendations: 0
Just to clarify. Do I understand that my wife's contribution would be tax deductible even if my income is over the limit for tax deductability?

Thanks,
DK
Print the post Back To Top
Advertisement