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My W-2 box 1 wages is $9550 but the actual earned income (box 3) is $12733. Why aren't you using the higher amount to determine allowable Roth IRA contributions?

 
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DS30
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My W-2 box 1 wages is $9550 but the actual earned income (box 3) is $12733. Why aren't you using the higher amount to determine allowable Roth IRA contributions?

Yes. Because only Box 1 of your W-2 is used to determine your taxable income on your income tax return, this is the starting amount for the IRS calculation for how much you are allowed to contribute to your Roth IRA.

According to the IRS, your Roth contributions are based on Modified Adjusted Gross Income (MAGI). Only the amount included in Box 1 of your W-2 will be included in this MAGI calculation.              

See Can You Contribute to a Roth IRA .

Please refer to IRS - Roth IRAs - Publication 590 for more information about Roth IRAs

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