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IRA Contribution Limits
Below is a chart that displays the maximum benefit and contribution limits for 2007 - 2008, as published by the Internal Revenue Service.
Establish a self-directed IRA or 401(k), invest in real estate and continue to contribute to your retirement plan.
What are this year's contribution limits?
Roth and Traditional IRA Contribution Limits:
Traditional IRA Contribution Limits and
Roth IRA Contribution Limits |
2007 |
2008 |
Up to age 50 |
$4,000 |
$5,000 |
Catch Up Provision Age 50+ |
$5,000 |
$6,000 |
Roth IRA Contribution Modified Adjusted Gross Income Phase Out Ranges:
Roth IRA Contribution
MAGI Phase-Out Ranges |
2007 |
2008 |
Single Individuals |
$99,000 - $114,000 |
$101,000 - $116,000 |
Married filing a joint income tax return |
$156,000 - $166,000 |
$159,000 - $169,000 |
Married filing separate tax returns |
$0 - $10,000 |
$0 - $10,000 |
Traditional IRA Deductibility Modified Adjusted Gross Income Limit:
Traditional IRA Deductibility
MAGI Limit |
2007 |
2008 |
Single - Active Participant |
$52,000 - $62,000 |
53,000 - $63,000 |
Married active participant filing joint |
$83,000 - $103,000 |
$85,000 - $105,000 |
Married active participant filing separate |
$0 - $10,000 |
$0 - $10,000 |
Spouse of an active participant |
$156,000 - $166,000 |
$159,000 - $169,000 |
SEP IRA Contribution Limits:
2007 - 25% of your wages (or up to 20% of your Schedule C income) up to a maximum of $45,000. Contributions can be made for 2007 up until your tax tax-filing deadline plus extensions. (See Internal Revenue Service Publication 560 for more information.)
2008- 25% of your wages (or up to 20% of your Schedule C income) up to a maximum of $46,000. Contributions can be made for 2008 up until your tax tax-filing deadline plus extensions. (See Internal Revenue Service Publication 560 for more information.)
SEP Contribution Limits |
2007 |
2008 |
SEP Contribution Limits |
$45,000* |
$46,000* |
SIMPLE IRA Contribution Limits:
2007 - $10,500 for salary deferral plus $2,500 catch-up if you are 50, plus up to 3% of your salary matched by your employer (See Internal Revenue Service Publication 560 for more information.)
2008 - $10,500 for salary deferral plus $2,500 catch-up if you are 50, plus up to 3% of your salary matched by your employer (See Internal Revenue Service Publication 560 for more information.)
SIMPLE IRA Contribution Limits
SIMPLE 401(k) Contribution Limits |
2007 |
2008 |
Up to age 50 |
$10,500* |
$10,500* |
Catch Up Provision Age 50+ |
$13,000* |
$13,000* |
Profit Sharing/401(k) Contribution Limits and Roth 401(k) Contribution Limits:
2007 - $15,500 in salary deferral plus catch-up deferral of $5,000 if you are 50 or over plus 25% of your wages (or 20% of your Schedule C income) up to a maximum of $45,000. Salary deferral contributions for the self-employed (in addition to the employer profit sharing contributions) can be made if the tax return has been extended up until your tax-filing deadline for 2007.
2008 - $15,500 in salary deferral plus catch-up deferral of $5,000 if you are 50 or over plus 25% of your wages (or 20% of your Schedule C income) up to a maximum of $46,000. Salary deferral contributions for the self-employed (in addition to the employer profit sharing contributions) can be made if the tax return has been extended up until your tax-filing deadline for 2007.
Profit Sharing/401(k) Contribution Limits
Roth 401(k) Contribution Limits |
2007 |
2008 |
Up to age 50 |
$45,000 |
$46,000 |
Catch Up Provision Age 50 |
$50,000 |
$51,000 |
Coverdell ESA Contribution Limits:
Up to $2,000 per year can be contributed into a Coverdell Education Savings Account until the child is age 18, unless the child is special needs. (See Internal Revenue Service Publication 970 for more information.
Coverdell ESA Contribution Limits |
2007 |
2008 |
Per year until the child is age 18, unless the
child is special needs |
$2,000* |
$2,000* |
Health Savings Account Contribution Limits:
2007 - $2,850 for individual coverage and $5,650 for family coverage plus $800 catch-up if you are over age 55. (See Internal Revenue Service Publication 969 for more information.)
2008 - $2,900 for individual coverage and $5,800 for family coverage plus $800 catch-up if you are over age 55. (See Internal Revenue Service Publication 969 for more information.)
Health Savings Accounts |
2007 |
2008 |
Definition of High Deductible Health Plans - Deductibles/Out of Pocket Limits |
Single Coverage - Minimum/Maximum |
$1,100/$5,500 |
$1,100/$5,600 |
Family Coverage - Minimum/Maximum |
$2,200/$11,000 |
$2,200/$11,200 |
Health Savings Account Contribution Limits |
Single Coverage |
$2,850 |
$2,900 |
Family Coverage |
$5,650 |
$5,800 |
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