I worked till very close to age 70 1/2 (less than 70.5), Can I contribute to a "Deductible IRA" for 2019?

[0frankjg070]

I am stuck.  Conflicting answers - I need clear concise help.  

Question:  Can I contribute to a deductible IRA for the 2019 tax year?

a) I worked when i was age 70 and beyond (or to age less than 70.5)

b) I have "earned income" in 2019 => until the date 6/28/2019  => Retired on this date.

**** I quit work under the age of 70.5

c) I turned 70.5 on 7/26/2019   (One month after I retired)

d)  I took my 2019 IRA RMD withdrawals in April of 2019.  (before I retired) & before specific age of 70.5

Conflicts:

1)  I worked late and retired in the same year that I turned 70.5  (year of 2019)

2)  I pulled my 2019 RMD in April 2019

3)  I do NOT want to restore the 2019 RMD.

4) I would like to contribute a deductible IRA for 2019=> since i have earned income in 2019

5) Turbo Tax says "I cannot" contribute an deductible IRA => as it FLAGS me for excess contributions.??

6) My spouse is 15 years younger => Is their any chance I can have her open a "Spousal IRA" for me?

Summary:  The secure act puts a spin on the above=> BUT please try to help me just answer the question:  "can i contribute to an deductible ira for the tax year 2019.?"

Thanks for your help - it would be helpful if you can also post the IRS page and rule for my reading.

[AmeliesUncle]

No, you can not.

If you turned age 70.5 in 2019, you do not qualify to contribute to a Traditional IRA.  The age limit was removed for tax year 2020, but that does not affect your 2019 tax return.

https://www.irs.gov/pub/irs-pdf/p590a.pdf#page=5

You spouse may be eligible to contribute to her own Traditional IRA under the "Spousal IRA" rules (based on your job income).  But it must be in her name.  

[0frankjg070]

Thank you for citing the IRS publication... "You must not have reached age
701/2 by the end of the year. " seems to be the definitive statement.

[Opus 17 · Accepted solution]

If you have taxable earned income from working in 2019, but you also turned 70.5 in 2019, you can't contribute to a traditional IRA in 2019.

Your spouse may contribute to a spousal IRA for 2019 up to $7000 or the amount of your earned income, whichever is less.  She does not open a spousal IRA "for you" -- it is an account in her name and belongs to her alone.  Your spouse may make deductible contributions for the 2019 tax year up until July 15, 2020, but make sure the plan trustee knows these are 2019 contributions.

Because the law changed in 2020, if you have earned income in 2020, you may contribute to a traditional or Roth IRA up to $7000 or up to the amount of your earned income, whichever is less (even though you were ineligible for 2019).  Your spouse may also contribute to a spousal IRA based on your earned income, if you have any. 

Now, if your spouse already has their own IRA or a retirement plan at work, their overall limit is the same.  A "spousal IRA" is not a way around the contribution limit.  Your spouse's contribution limit to all IRAs in her name combined is still $7000. 

https://www.irs.gov/retirement-plans/plan-participant-employee/retirement-topics-ira-contribution-li...