Individual Retirement Accounts » Traditional Rollover or Contributory IRAs

2008 Contribution Limits

The maximum contribution allowed for a single tax filer is the lesser of $5,000 or 100% of taxable earned income.

A couple that is "Married Filing Jointly" can contribute up to a maximum of $10,000 ($5,000 per individual) into separate accounts for the working and non-working spouse.

If a couple is "Married Filing Separately", the party filing separately can contribute $5,000.
Additionally, individuals aged 50 or greater at any time during the taxable year are eligible to contribute an additional $1,000 for a total of up to $6,000.

In all of the above circumstances, it is important to note that there are adjusted gross income (AGI) factors, and employer plan limitations which can dramatically affect, if not eliminate, the deductibility of the amount contributed to an IRA. However, just because the amount may not be deductible does not mean that the amount cannot be set aside for retirement purposes.

Contribution Deadline

Contributions must be made by April 15th for the prior-tax year. (Note: this date can vary if April 15th falls on a Saturday, Sunday or holiday.)

If an individual has filed for extensions, the extensions do NOT apply to IRA contributions. All contributions must be made by the April 15th deadline.