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Level 2
Mar 28, 2022 3:39 PM UTC
Question

tradional ira

my sister is 62 and put $7000 in her traditional IRA which should  be allowed... however now turbo tax says she has to pay money back.... as a penalty?? why

    5 replies

    Level 15
    Mar 28, 2022 3:44 PM UTC

    How much was her earned income?

    Level 2
    Mar 28, 2022 3:45 PM UTC

    she is retired... she only made $413

     

    Level 15
    Mar 28, 2022 3:50 PM UTC

    You can only contribute an amount equal to your earned income or $6000 whichever is less.