Traditional IRA Deductibility
I have a 63 year old husband who is self employed and has no qualified retirement plan. He makes $150,000 annually. His spouse makes $125,000 and is covered at work with a 401(k). Can he make a deductible Traditional IRA contribution. They file a joint return. Thanks,
Permalink Submitted by Alan - IRA critic on Wed, 2015-10-21 19:04
Their joint income is too high to deduct TIRA contributions or to make Roth contributions. However, he might consider a SEP IRA or a solo 401k plan if he has no employees. Either plan would allow much larger contributions and they would also be deductible.