Tradition IRA contribution in 2021 post retirement?

[Dave723]

I retired early April 2021 (I'm 64).  I was able to max out my 401K contribution for the year prior to retiring. So now that I'm retired and no longer covered by a retirement program, can I make a $7000 contribution to a traditional IRA and take a deduction in 2021? 

My wife is retired and is not covered by a retirement program (ex. 401K) so we'd make a similar contribution to a traditional IRA for her as well.

[dmertz · Accepted solution]

You are a covered individual for 2021 if you participated in an employer plan at any time in 2021.  The fact that you retired in April is irrelevant.  You are eligible to contribute to your traditional IRAs, but the deductions may not be deductible depending on your modified AGI for the purpose.