You should have an IRA. Here's what you need to know about them.
In this comprehensive video, we delve into the world of Individual Retirement Accounts (IRAs) to equip you with all the essential knowledge you need to plan for a secure retirement. Whether you're just starting out or looking to optimize your retirement savings strategy, this video covers the basics of Traditional IRAs, Roth IRAs, contribution limits, tax advantages, investment options, and more.
Always check the IRA website for the latest details on contribution limits and eligibility requirements.
Eligibility Requirements for Traditional IRA:
In 2023, if you are covered by a workplace retirement plan (e.g. 401k), your Modified Adjusted Gross Income must be less than or equal to $73,000 to get the full tax deduction for single filers and $116,000 for married filing jointly. You may still contribute to the Traditional IRA if you are above these limits but will not get the upfront tax deduction.
Eligibility Requirements for Roth IRA:
In 2023, your Modified Adjusted Gross Income must be less than $138,000 ($218,000 for married filing jointly) to contribute up to the limit. Those making above that but less than $153,000 ($228,000 for married filing jointly) may contribute a reduced amount