Can i make both Ira payments and simple ira payments

Forum|Forum|7 years ago
June 6, 2019
1 reply
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my employer has added a simple ira for me and i have a personal ira , can i have both

TurboTax Self Employed Online

Irene2805

Level 15

Yes. The SIMPLE IRA is considered an employer-sponsored retirement plan.

Even though you are covered by a retirement plan, you can still contribute to a traditional IRA and get a deduction, it just may be reduced. If you are--

Single, and your modified adjusted gross income is:

$61,000 or less - You get the full deduction
more than $618,000 but less than 71,000 - partial deduction
$71,000 or more - no deduction

Married filing joint return, and your modified adjusted gross income is:

$98,000 or less - You get the full deduction
more than $98,000 but less than $118,000 - partial deduction
$118,000 or more - no deduction

Married filing separately*, and your modified adjusted gross income is:

less than $10,000 - partial deduction
$10,000 or more - no deduction

*Married individuals filing separately who live apart at all times during the year are treated as single.

[NOTE: There is no impact on Roth IRA contributions if you are covered by an employer retirement plan. These contributions, however, are not deductible on your return.]

For more details on IRAs, please see the following IRS Publications:

Publication 590-A - Contributions to Individual Retirement Arrangements (IRAs)
Publication 590-B - Distributions from Individual Retirement Arrangements (IRAs)