Hoping to get clarity on my spousal IRA situation, with knowledge that no one here will be giving me official tax advice!
My wife and I (both over 50, so able to contribute $8,000 for 2024) both have our own longstanding traditional IRAs. We both work part-time, with each year changing in terms of how much income we make.
In 2024, my wife's income was about $14,000 and mine was about $8,000. Let's use those as round numbers for now.
She will contribute $8,000 to her own IRA.
Questions:
1. After she funds her own IRA for $8,000, can she also contribute up to $6,000 to my IRA, regardless of my ability to contribute fully on my own?
2. In this case, she cannot contribute more than $6,000 to my IRA, as that would exceed her income for the year, right?
3. And if she contributes $6,000 to my IRA, I assume I can then contribute $2,000 to my IRA to reach my annual limit of $8,000?
(I know I asked a somewhat similar question a previous year, but just want to be of my understanding of this situation. Thanks!)
My wife and I (both over 50, so able to contribute $8,000 for 2024) both have our own longstanding traditional IRAs. We both work part-time, with each year changing in terms of how much income we make.
In 2024, my wife's income was about $14,000 and mine was about $8,000. Let's use those as round numbers for now.
She will contribute $8,000 to her own IRA.
Questions:
1. After she funds her own IRA for $8,000, can she also contribute up to $6,000 to my IRA, regardless of my ability to contribute fully on my own?
2. In this case, she cannot contribute more than $6,000 to my IRA, as that would exceed her income for the year, right?
3. And if she contributes $6,000 to my IRA, I assume I can then contribute $2,000 to my IRA to reach my annual limit of $8,000?
(I know I asked a somewhat similar question a previous year, but just want to be of my understanding of this situation. Thanks!)
Statistics: Posted by OkanePlease — Sat Jan 04, 2025 1:05 pm — Replies 1 — Views 86