Roth IRA Income Limits 2012 – General Highlights
Since the IRS released official updates about the Roth IRA in 2012, here are some updates about the income limits.
The first thing anyone will notice about the new income limits is that they have been increased almost across the board. The specific changes are outlined below:
Singles
- The lower border of the adjusted income phase out range has been increased to $110,000; if you make less than this you are encouraged to contribute as much as you can to your Roth IRA
- Once your income rises above the lower border you can only contribute a percentage of the maximum. This percentage decreases the higher your taxable income is and goes to 0 at the upper border of $125,000
Married
- Luckily for married couples, the income limits have also been increased substantially. In 2012 if you add your taxable incomes together and they are under $173,000, you can contribute up to $10,000 to your Roth IRA
- Unfortunately if your joint income is above $183,000 you are not allowed to contribute to your retirement arrangement
~admin
Tags: roth ira income limits 2012
This entry was posted by admin at 8:31 am and is filed under Personal Finance.
You can follow any responses to this entry through the RSS 2.0 feed.
Both comments and pings are currently closed.