Once you reach age 70 1/2, you can no longer contribute to a Traditional IRA.
- Roth IRA: There is no upper age limit to make a contribution
to a Roth IRA. You must have earned income though. So, if neither your or
your spouse are working then you cannot contribute to a Roth regardless of
age.
-
Traditional IRA: For a Traditional IRA, once you reach
the year in which you turn age 70 ½ you are no longer eligible to make a
Traditional IRA contribution.
Tax on Excess Contributions
In general, if the excess contributions for a year aren’t withdrawn by the date your return for the year is due (including extensions), you are subject to a 6% tax. You must pay the 6% tax each year on excess amounts that remain in your traditional IRA at the end of your tax year. The tax can’t be more than 6% of the combined value of all your IRAs as of the end of your tax year.
