Sections
Shortcuts
Managing Your Money

Contributing to a Roth IRA after age 70.5

Can I contribute to a Roth IRA for 2011 if I will be age 70 and a half in 2011 and my modified adjusted gross income (MAGI) is under $110,000?

Contributions to Traditional IRAs are not allowed after age 70.5, however, contributions to a Roth IRA are allowed after you turn 70.5 as long as you meet the overall income limitations that apply to all Roth IRA contributions. Although the income limits have been lifted for Roth IRA conversions, the same is not true for Roth IRA contributions.

Based on the information in your question, it appears that you will be eligible to contribute to a Roth IRA for 2011 since your modified adjusted gross income (MAGI) is below the maximum income limits set by the IRS (i.e., $122,000 for single taxpayers and $179,000 for married taxpayers filing jointly).

The actual amount that you can contribute will be based on your MAGI, your age, and your tax filing status. Since you are over age 50, you can contribute up to $6,000 to a Roth IRA for 2011 - taxpayers under the age of 50 can only contribute up the $5,000 for 2011. However, the $6,000 maximum that you can contribute will be reduced if your tax filing status is single or head of household because your MAGI is more than $107,000 but lower than the $122,000 limit for single and head of household taxpayers.

If your tax filing status is married filing jointly, you can contribute up to the maximum $6,000 limit because your MAGI is below to $179,000 limit for married taxpayers.

For more information on Roth IRA contributions visit the IRS web site at http://www.irs.gov/retirement/article/0,,id=202510,00.html.

Continue Reading Below