spousal IRA contribution when spouse is already 701/2
husband wants to make contributions to wife. wife is not working and already 701/2 but spouse is still working. Can husband make spousal IRA contributions?
husband wants to make contributions to wife. wife is not working and already 701/2 but spouse is still working. Can husband make spousal IRA contributions?
Permalink Submitted by Alan Spross on Tue, 2009-06-23 22:41
In a spousal contribution situation, the age 70.5 limitation applies to the IRA owner receiving the contribution, not to the spouse that earns the income. Therefore, if the wife is 70.5, her IRA cannot receive a spousal contribution. However, her ROTH IRA COULD receive a spousal contribution because age 70.5 does not limit Roth contributions. If a TIRA spousal contribution has already been made, one solution is to have it recharacterized as a spousal Roth IRA contribution.