ROTH IRA Catch-up Contribution

A single tax payer age 51 has an MAGI of $150,000.

Can this tax payer make the $1,000 catch-up contribution to their ROTH IRA?



No. If MAGI it too high to make a regular contribution, no catch up contribution is allowed. If MAGI was in the phaseout range allowing a partial contribution of 40% of the limit, then 40% of the 1,000 catch up ($400) would also be allowed. In other words, the catch up contribution is reduced by the same % as the regular contribution when MAGI requires reduced contributions.

Thanks Alan.

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