What is the 2024 Saver's Credit?

The Retirement Savings Contributions Credit, also known as the Saver's Credit, or the Credit for Qualified Retirement Savings Contributions, can help low- and middle-income taxpayers saving for retirement. This credit is nonrefundable.

You can claim the Saver's Credit for your ABLE (Achieving a Better Life Experience) account contributions if you're the designated beneficiary.

Depending on your income level and filing status, you may claim a credit that’s a percentage (either 50%, 20% or 10%) of:

• Contributions to a traditional or Roth IRA
• Elective deferrals to a:
  • 401(k)
  • 403(b)
  • Governmental 453(b)
  • SARSEP
  • SIMPLE
• Voluntary employee contributions to a qualified retirement plan including a federal Thrift Savings Plan, or a 403(b) plan
• Contributions to a 501(c)(18)(D) plan
• Contributions to an ABLE account if you’re the designated beneficiary

Rollover contributions don’t qualify. Eligible contributions may get reduced if there are recent distributions.

You qualify for the credit if you’re:

• 18 or older
• Not a full-time student
• Not claimed as a dependent on someone else’s return

In 2024 your adjusted gross income (AGI) also can’t be more than:

• $76,500 if Married Filing Jointly
• $57,375 if Head of Household (with qualifying person)
• $38,250 if Single, Married Filing Separately, or Surviving Spouse with dependent child

We’ll calculate the credit amount and generate Form 8880 for you if you qualify.