Traditional IRA
| Contribution Limit | $7,500 |
| Catch-Up Contribution | $1,100 for participants age 50 and older |
| Combined Limit | The Traditional and Roth IRA limits are shared. Total contributions across both account types cannot exceed $7,500 ($8,600 with catch-up) |
| Eligibility | You must have earned income to contribute. There is no income limit on the ability to contribute, but deductibility may be reduced based on income and workplace plan participation |
| Spousal Eligibility | A non-working spouse may contribute based on the working spouse's earned income, subject to the same limits |
| Deduction Phase-Out | If you or your spouse are covered by a workplace retirement plan, the ability to deduct contributions phases out based on income and filing status. See phase-out table below |
| Deadline to Contribute | April 15 of the year following the tax year. No extensions |
| Tax Treatment | Contributions are generally deductible. Earnings grow tax-deferred and are taxed as ordinary income on distribution |
2026 Traditional IRA deduction phase-out ranges
| Filing Status | Workplace Plan Coverage | Full Deduction | Partial Deduction | No Deduction |
|---|---|---|---|---|
| Single / Head of Household | You are covered | $81,000 or less | $81,001 to $90,999 | $91,000 or more |
| Married Filing Jointly | You are covered | $129,000 or less | $129,001 to $148,999 | $149,000 or more |
| Married Filing Jointly | Spouse is covered; you are not | $242,000 or less | $242,001 to $251,999 | $252,000 or more |
| Married Filing Separately | You or spouse is covered | None | $0 to $9,999 | $10,000 or more |
| Any | Neither spouse is covered | Full deduction regardless of income |
Roth IRA
| Contribution Limit | $7,500 (shared with Traditional IRA) |
| Catch-Up Contribution | $1,100 for participants age 50 and older |
| Eligibility | Contributions are phased out above certain income levels. See eligibility table below |
| Deadline to Contribute | April 15 of the year following the tax year. No extensions |
| Tax Treatment | Contributions are made with after-tax dollars. Earnings grow tax-free and qualified distributions are tax-free |
2026 Roth IRA contribution eligibility (MAGI)
| Filing Status | Full Contribution | Partial Phase-Out | No Contribution |
|---|---|---|---|
| Single / Head of Household | $153,000 or less | $153,001 to $167,999 | $168,000 or more |
| Married Filing Jointly | $242,000 or less | $242,001 to $251,999 | $252,000 or more |
| Married Filing Separately | None | $0 to $9,999 | $10,000 or more |
SEP IRA
| Contribution Limit | Lesser of 25% of compensation or $72,000 |
| Catch-Up Contribution | None |
| Eligibility | Contributions are made by the employer. The account holder must have earned compensation from the sponsoring business |
| Deadline to Contribute | Business tax filing deadline, including extensions which are typically September 15 for pass-through entities, October 15 for corporations |
| Tax Treatment | Contributions are deductible as a business expense. Earnings grow tax-deferred and are taxed as ordinary income on distribution |
SIMPLE IRA
| Contribution Limit | $17,000 |
| Catch-Up Contribution | $4,000 for participants age 50 and older |
| Eligibility | Employee must meet plan participation criteria set by the employer. Employer contributions are mandatory |
| Deadline to Contribute | Employee deferrals are made through payroll during the plan year. Employer contributions follow the business tax filing deadline including extensions |
| Tax Treatment | Employee deferrals reduce taxable wages. Earnings grow tax-deferred and are taxed as ordinary income on distribution |
Contribution rules can be complex, particularly where income phase-outs, employer plan participation, or spousal contributions are involved. Confirm your eligibility and deductibility with a qualified tax advisor before contributing. Overcontributions carry a 6% annual excise tax until corrected.