If both myself and my wife have retirement plans at our employers and we want to make a contribution to a new IRA to offset taxes is the AGI limit not 193,000 or less. In turbo tax it says we cannot because our AGI is 144000 but both of us have retirement plans with our employers. Please advise
No. $193K is Roth limits. Roth's are not deductible. For a deduction to lower tax only a Traditional IRA is fully deductible if your income is under $103K.
See this IRS link for Traditional IRA deduction limits when covered by a retirement plan at work.
https://www.irs.gov/Retirement-Plans/IRA-Deduction-Limits
| married filing jointly or qualifying widow(er) |
$103,000 or less |
a full deduction up to the amount of your contribution limit. |
|
more than $103,000 but less than $123,000 |
a partial deduction. |
|
|
$123,000 or more |
no deduction. |
If you are both covered by retirement plans at work and your are filing a Married Filing Joint tax return, the Modified Adjusted Gross Income (MAGI) limit for making a deductible contribution is less than $123,000.
Take a look at the following TurboTax article for more details: How much of my Traditional IRA contribution is deductible?