Viewing a single comment thread. View all comments

whackbush OP t1_iy8f6vw wrote

Reply to comment by DeluxeXL in Funded small IRA w/ ETrade with after-tax money - can I withdraw without penalty? by whackbush

I use a financial advisor for nearly all of my money outside of employer's 401K program- this was just a one-off with some cash I had on individual stocks that for some reason I decided to roll into an IRA. It's only $6000 that I put into the IRA last year, and my financial guy didn't spin up any additional IRAs until this year - so that max contribution rules shouldn't be impacted, correct?

1

DeluxeXL t1_iy8fiq5 wrote

2021 contributions do not affect 2022 contribution limit, unless 2021 contribution exceeded the 2021 limit. Make sure your MAGI in 2021 was lower than $125k.

Also you need to say "Roth IRA." Otherwise because IRA came first, "IRA" means traditional IRA.

1

whackbush OP t1_iy8gifr wrote

"If you file taxes as a single person, your Modified Adjusted Gross Income (MAGI) must be under $140,000 for the tax year 2021 and under $144,000 for the tax year 2022 to contribute to a Roth IRA, and if you're married and file jointly, your MAGI must be under $208,000 for the tax year 2021 and 214,000 for the tax year 2022."
Those were the numbers I was going by. I'm married/joint and wife has no income, but that's definitely something to be aware of. Thanks! I'm staying away from Roths from now on.

1