IRA Deduction for Married Filers When One Spouse Has Another Retirement Plan
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IRA Deduction for Married Filers When One Spouse Has Another Retirement Plan
When only one spouse is covered by an employer-sponsored retirement plan, both spouses may deduct all or part of their own IRA contributions subject to limits determined by their joint adjusted gross income (AGI) from their federal income tax return.
Things To Know
- Each spouse may deduct all or part of his/her traditional IRA contribution.
- The phaseout begins at a specific income amount that often changes year to year.
Phase-out of the covered spouse’s deductible contribution begins once the joint AGI reaches $126,000 for 2025. Deductibility declines as AGI rises, reaching zero at $146,000.
The non-covered spouse has full deductibility up to $236,000 of joint AGI for 2025. This also declines as AGI rises. At $246,000, deductibility drops to zero.
Depending upon the family adjusted gross income, each spouse may deduct all or part of his/her traditional IRA contribution. The amount they may deduct is calculated separately for the spouse with the employer-sponsored retirement plan and the spouse with no employer-sponsored plan.
IRS Publication 590a provides worksheets to help you with your calculations.