Contribute to an IRA if husband has plan at work

[keeblelane]

I am married, we are finding a joint return.  Our combined AGI will end up around 150K.  My husband cant contribute to an IRA because he had a retirement plan at work.  My question is can I contribute even though my income for the year was very low after taking all the allowed deductions.  I am self employed and have no retirement plan.  We are in our 60's so my question applies to the regular and the extra catch up.  

[MichaelDC]

Although you yourself might not have eligible compensation to support an IRA contribution, you can make a spousal traditional or Roth IRA contribution for 2017 based on your spouse's eligible compensation in 2017:

From the IRS:

"In the case of a married couple with unequal compensation who file a joint return, the deduction for contributions to the traditional IRA of the spouse with less compensation is limited to the lesser of:

1. $5,500 ($6,500 if the spouse with the lower compensation is age 50 or older), or

2. The total compensation includible in the gross income of both spouses for the year reduced by the following three amounts.

   1. The IRA deduction for the year of the spouse with the greater compensation.

   2. Any designated nondeductible contribution for the year made on behalf of the spouse with the greater compensation.

   3. Any contributions for the year to a Roth IRA on behalf of the spouse with the greater compensation.

This limit is reduced by any contributions to a section 501(c)(18) plan on behalf of the spouse with the lesser compensation."

"If you either live with your spouse or file a joint return, and your spouse is covered by a retirement plan at work, but you are not, your deduction is phased out if your modified AGI is more than $186,000 but less than $196,000. If your modified AGI is $196,000 or more, you cannot take a deduction for contributions to a traditional IRA."

Please feel free to post any additional details or questions in the comment section. 

[Critter]

EVERYONE who has sufficient income under the age of 70 1/2  can make an IRA contribution ... the real question is how much can be deductible.  If it is not deductible then you can always choose to make the contributions non deductible which will give you a basis in the IRA.