Is there an income limit for a spouse that does not have a retirement plan at work, if her husband does?

[bkschnabel]

In Turbo Tax it has disallowed my wife's IRA contribution of $6,500 due to income limits. She does not have a retirement plan at work, and I do. She was able to contribute last year under the same circumstances. Has something changed in the IRS laws? I thought that she can contribute because she does not have a retirement plan at work.

[Ashby]

Yes, there are income limits for a couple that has one spouse covered under a retirement plan.

The MAGI limit for a full IRA deduction with spouse covered by retirement plan is $189,000. The deduction phases out completely once MAGI reaches $199,000.

[bkschnabel]

The MAGI limits for a Traditional IRA begin at $101,000, and end at $121,000 for married filing joint if you and/or your spouse are covered by a retirement plan.

[Ashby]

<a rel="nofollow" target="_blank" href="https://www.irs.gov/retirement-plans/plan-participant-employee/2018-ira-contribution-and-deduction-l...>

[Ashby]

It's my understanding that I am correct if the noncovered spouse is making the contribution. If the covered spouse is making the contribution, I believe your numbers are right.

[bkschnabel]

I think you may be right and if so TurboTax is wrong. My spouse is the contributor, she is not covered by a retirement plan, and the MAGI is $159k. TurboTax is not allowing the deduction. How do I fix this?