Posts Tagged ‘ira’
Ira Deductible Contributions
July 21st, 2008
Question: Max’d Roth IRA contributions & 401k. Can I contribute to non-deductible IRA, too?
I contributed the max $15,000 to my company 401K. With an adjusted AGI $102,880 for Single taxpayer, the IRS spreadsheet indicates a maximum ROTH IRA contribution of $1900 is allowed.
My question is whether a non-deductible contribution to traditional IRA in the amonut of $2100 is allowed. This keeps IRA contributions to $4000… is this allowed?
thanks,
Chaz
Answer: If you were otherwise qualified yes you would be eligible to make a contribution to a Traditional IRA,
Based on the information provided you would not be able to deduct the Traditional IRA contribution, so you would need to complete lines 1,2,3, and 14 of part one of form 8606 to keep track of your basis in the Traditional IRA for the 2,100.00
Publication 590
Instructions to form 8606
Items on Amazon Right Now for Ira Deductible Contributions:
Income limit lifted, opening Roth IRA conversions to all
Hillsborough resident Rick Smith likes the idea of converting a traditional Individual Retirement Account into a tax-free Roth IRA, but until this year, he and other higher-income taxpayers did not have that option. Now they do, thanks to a change in the tax code.
Finance & Investment Tips : What Are the Tax Advantages of an IRA?
Posted in Retirement Plan Deductions | 
Tags: 403_b, best_ways_to_save_money, ira, tax_burden, tax_situation | 
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Ira Fees Tax Deductible
July 11th, 2008
Question: IRA Fees Tax Deductible?
Are IRA maintenance fees for a Roth tax deductible?
Answer: ROTH fees are NEVER deductible. The Roth does not create taxable income and you can only deduct the fees for income-producing assets.
Traditional IRA fees are deductible only if the money used to pay them were from outside the IRA. If you used IRA funds to pay them, you don’t get a deduction. (When you cash out the IRA, you don’t pay taxes on the money that’s not in there, so you already got your deduction.)
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Tax tips: Give yourself some breaks
People who itemize deductions on their federal income-tax returns have the most opportunities to save money, but certain deductions also can taken by those who don’t itemize. That’s important since nearly two-thirds of Arizonans don’t itemize.
Tax Deduction Tips : Social Security Tax Tips