For example, calculating your MAGI for the purposes of determining Roth IRA eligibility is slightly different than calculating MAGI for determining whether your traditional IRA contribution is deductible.For retirees, MAGI is a big deal because it determines insurance premiums for Medicare Part B and ...
In 2024, the maximum contribution limit is $23,000. (It was $22,500 in 2023.) Those age 50 or older can contribute a 2023 and 2024 "catch-up" amount of an additional $7,500. For example, if a 40-year-old employee who makes a $100,000-a-year salary contributes the full amount...
The age for taking required minimum distributions (RMDs) was raised to 73 from 72 as of Jan. 1, 2023. That’s for withdrawals from traditional IRA and 401(k) accounts as well as SIMPLE and SEP IRAs. (Roth accounts aren’t subject to RMDs.) The penalty for failing to make an R...