TT 2018 will not allow a full IRA contribution if your joint AGI is over 101K. But IRS says the AGI limit is 104K. How can I make TT take the full contribution?

[rkedd]

In Turbo Tax 2018 I get a message that the maximum contribution for an IRA is $5270 for a joint income between 101K and 121K. However, the IRS Tax Site says married filing joint can get the full deduction if the modified AGI is 103K or less. This is a difference in the AGI of about 2K. Does TT need an update for the correct limit or is there a different way I should enter the IRA contribution?

[Rachel_W]

I am not sure where you are seeing the MAGI limit of $103,000.  Feel free to comment the link below and I can take a look at it.  You can check out this IRS link for the 2018 MAGI limitations for Traditional IRA contributions: IRA Limits.

If you are filing Married Filing Jointly, if neither of you is covered by an Employer-Sponsored Retirement Plan there are no limits on your MAGI for Deductible Traditional IRA Contributions.

If only you OR your spouse is covered by an Employer Sponsored Retirement Plan, the ability for the non-covered spouse to make a Deductible IRA Contribution phases out when your joint MAGI is between $189,000-$199,000.

If you are both covered by an Employer Sponsored Retirement Plan, the ability to make a Deductible Traditional IRA contribution phases out when your MAGI is between $101,000 and $121,000.

https://www.irs.gov/retirement-plans/plan-participant-employee/2018-ira-contribution-and-deduction-l...

[dmertz]

$103,000 is the beginning of the phase out of deductions for a contribution made for *2019* by someone covered by a retirement plan at work and filing jointly.  The phase out range for a contribution made for 2018 begins a $101,000.

[rkedd]

Thank you very much. I was looking at the 2019 site.