How much can I add to my 2014 IRA?

[Deleted]

I retired in May, which terminated my participation in the employer 401(k). I'd put in about $4k, so I'm well under the applicable limits, especially since I can do the catch-up, too.

Can I contribute the remainder up to the max to a private brokerage IRA? Can it be a Roth? I have both types at Fidelity already from rollovers. Thanks!

[mwcpa]

the answer is "it depends"

if your income is below certain thresholds you may be able to contribute the maximum amount to a deductible or Roth IRA

see www.irs.gov/Retirement-Plans/IRA-Deduction-Limits

[Deleted]

Thanks! I've seen that but what doesn't really address is the time frame for "if you have a retirement plan at work".   Did I during 2014?  Yes.  Did I as of year-end 2014?  No.  Which one applies here?

[Ombud]

Nov 19, 2014 8:19:07 GMT -5 @athena53 said:

Did I during 2014?  Yes.

Unless taxref, mwcpa, TheOtherMe or rangerj disagrees.

Which I assume is why you're asking on this site

[Deleted]

Thanks. That means we can contribute on a before-tax basis only if we're under certain income limits, and we're not. Skunked again.

Well, this is our last year with any substantial income. I just did a projection of our 2015 taxes, assuming that taxable investment income would be the same as what we reported in 2013 (as good a guess as any) and our taxes in 2015 will be $12K less than in 2014. And that's after moving the money we've pledged for our church in 2015 into the Fidelity Charitable fund to get the deduction this year instead of next year.  (We'll disburse it in quarterly installments to them in 2015.)  We're no longer paying Rich People Taxes.  Woo-hoo!

[mwcpa]

ombud has nailed it.... if you are covered by a pension plan means during the year, not only as of 12-31.

Not sure what "rich people taxes" are, but I would rather be in a position to have to pay $1 million in tax than zero.

[Deleted]

Nov 20, 2014 20:26:06 GMT -5 mwcpa said:

Not sure what "rich people taxes" are, but I would rather be in a position to have to pay $1 million in tax than zero.

Yes, I understand that- I've been blessed (and I've worked and saved hard, too). But I've been paying the AMT since I was a single mother in a HCOL area in 1997 and we've been paying Federal AND State income taxes on DH's SS, not just because of his income (which isn't much beyond SS) but because of my wages.  Heck, even the state grabs its cut of his SS.  I'm just looking forward to letting others bear some of the burden.