topic How can I have an excess contribution of $1,430 to a traditional IRA which has an $18,000 dollar limit when I only put in $7430? I understand the limit of a Roth IRA is $6,000 dollars. But when contri in Retirement tax questions

How can I have an excess contribution of $1,430 to a traditional IRA which has an $18,000 dollar limit when I only put in $7430? I understand the limit of a Roth IRA is $6,000 dollars. But when contri

kielerc — Sun, 02 Feb 2020 22:22:45 GMT

Is the $7,430 traditional IRA contributions non-deductible?

Re: How can I have an excess contribution of $1,430 to a traditional IRA which has an $18,000 dol...

DanaB27 — Sun, 02 Feb 2020 22:42:04 GMT

Please be aware that for 2019, your total contributions to all of your traditional and Roth IRAs cannot be more than:

$6,000 ($7,000 if you're age 50 or older), or
your taxable compensation for the year, if your compensation was less than this dollar limit.

Furthermore, the deduction to a traditional IRA may be limited if you or your spouse is covered by a retirement plan at work and your income exceeds certain levels. Please see Retirement Topics - IRA Contribution Limits for details.

Re: How can I have an excess contribution of $1,430 to a traditional IRA which has an $18,000 dollar limit when I only put in $7430? I understand the limit of a Roth IRA is $6,000 dollars. But when contri

dmertz — Mon, 03 Feb 2020 04:50:58 GMT

If this retirement plan has an $18,000 contribution limit, it is not an IRA. Enter amounts shown in box 12 of your W-2 only in box 12 of TurboTax's W-2 form, nowhere else in TurboTax.