Stern, Kory, Sreden & Morgan, AAC
Can I contribute to a Roth IRA?


Maybe. It depends on your particular circumstances. You must have earned income during the year (typically, wages or self-employment income). Beyond that, your eligibility for a Roth IRA will hinge on two primary considerations: your adjusted gross income for the year and your income tax filing status. In a given tax year, it's possible you may qualify to contribute the maximum amount allowed by law, a lesser amount, or nothing at all. The maximum contribution is $5,000 in 2008 and 2009. In addition, if you're age 50 or older, you can make an extra "catch-up" contribution of $1,000 a year in 2008 and 2009.

If your filing status is:

Your ability to contribute to a Roth IRA is limited if your modified adjusted gross income is:

You cannot make a contribution to a Roth IRA if your modified adjusted gross income is:

Single or head of household

At least $105,000 but less than $120,000

$120,000 or more

Married filing jointly or qualifying widow(er)

At least $166,000 but less than $176,000

$176,000 or more

Married filing separately

More than $0 but less than $10,000

$10,000 or more

Your allowable Roth IRA contribution for a given year may be reduced by contributions made to other IRAs during the same tax year. For example, even if you qualify to contribute the full $5,000 to a Roth IRA in 2009, you will be able to put in only $500 if you've already contributed $4,500 to your traditional IRA for that same year.

Prepared by Broadridge Investor Communication Solutions, Inc, Copyright 2011