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Level 3
February 1, 2020
Solved

In 2018 I contributed $4200 in Roth IRA. My MAGI was 190,500 (married filling jointly). The income limits were 189 -199 K. Did I contribute more than what was allowed?

  • February 1, 2020
  • 1 reply
  • 11 views
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Best answer by DianeC958

No, from the information you have here you did not over contribute.  One way for you to be able to contribute the full amount to a Roth IRA and not concern yourself with the income limitations is to do a BackDoor Roth IRA.

 

To have this work, you contribute to a regular IRA account (which is not deductible for you due to your income) then you convert it, during the same year to a Roth IRA.  By doing this there are no limits based on your income and you can make the full contribution to your Roth IRA account.

 

Link on how to enter a Backdoor Roth IRA in TurboTax

1 reply

sdaroraAuthor
Level 3
February 1, 2020

I did some math and seems like I should be fine. Can someone confirm?

(190500 - 189000)/10000 = 0.15

0.15 * 5500 = 825

5500 - 825 = 4675

Max I could contribute in 2018 would be $4675

 

DianeC958Answer
Level 12
February 2, 2020

No, from the information you have here you did not over contribute.  One way for you to be able to contribute the full amount to a Roth IRA and not concern yourself with the income limitations is to do a BackDoor Roth IRA.

 

To have this work, you contribute to a regular IRA account (which is not deductible for you due to your income) then you convert it, during the same year to a Roth IRA.  By doing this there are no limits based on your income and you can make the full contribution to your Roth IRA account.

 

Link on how to enter a Backdoor Roth IRA in TurboTax

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