IRA Contributions

Do maximum income limits apply to both a Roth 401K account and a Traditional Roth account? Combined or individually?

My wife and I exceeded the income limits last year and I had to withdraw my 2022 contributions before filing taxes to avoid penalties. Luckily, I was over 59 1/2. (Its was a Roth 401K). My wife was not so lucky until later in the year when she withdrew to avoid a carryover penalty for 2023 taxes. Both of us stopped contributing to Roth because of our joint income and maxed out of Traditional 401k contributions.

But I am now hearing different guidance. With a joint income over $300k, can we make any kind of Roth (Trad or 401k) contributions? Both of us are over 59 1/2?



There are no max income limitations for contributions to a Roth 401k, as there are for Roth IRA. Are you sure that the corrective distributions you are referring to were not taken from your Roth IRAs?



Add new comment

Log in or register to post comments