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1.
A contribution you make to an IRA this year may not be fully deductible if you participate in an employer-sponsored retirement plan.
True. If you do, your ability to deduct your IRA contributions begins to drop at a certain point.
2.
The contributions you make to a traditional IRA may be eligible for tax deduction.
True. There may be limits on how much is deductible, but the eligibility exists in traditional IRAs.
3.
If you do not qualify for IRA tax deductibility, you can still contribute to an IRA.
True. As long as you have earned income, you can contribute, regardless of whether you can deduct.
4.
If you have an IRA and are covered by another qualified retirement plan, you must use your tax bracket to figure how much of your IRA contributions are tax-deductible.
False. You must use your adjusted gross income.
5.
Depending on family adjusted gross income and participation in an employer-sponsored retirement plan, each spouse with an IRA can take a tax deduction on _______ of his or her traditional IRA contribution.
All or part. The actual amount will depend upon his or her income.