Basic question about Roth IRA for spouse

#2 04-06-2004, 09:54 PM

BOTH YOU AND YOUR WIFE CAN CONTRIBUTE THE MAXIMUM ($3,000, $3,500 IF YOU
ARE OVER 50)

George wrote:
- quote -

> I've been looking at the rules for married couples making Roth IRA
> contributions (combined income below $160,000... not a problem for us).
> I've also noticed the rules about a working spouse making contributions for
> a non-working spouse. However, I haven't found a straight answer for my
> exact question.
> My wife and I both work, each of us making well over $3,000. I have
> a 401k and a Roth IRA (which I max-out every year) in my name alone, my
> wife has no retirement savings of any kind. Can she open a Roth IRA in her
> name and make the maximum (ie $3k this year) contributions as well?
> Basically, can married couples contribute $6,000 in total to Roth
> IRA's this year... or does the $3,000 cap apply to couples' combined
> contributions?

#1 02-10-2004, 11:00 PM

"George" <ofthejungle[at]hotmail.com> wrote in message
news:Xns948BAB68D94D1generalsteveperkins[at]130.133.1.4...
- quote -

> I've been looking at the rules for married couples making Roth IRA
> contributions (combined income below $160,000... not a problem for us).
> I've also noticed the rules about a working spouse making contributions
for
> a non-working spouse. However, I haven't found a straight answer for my
> exact question.
> My wife and I both work, each of us making well over $3,000. I have
> a 401k and a Roth IRA (which I max-out every year) in my name alone, my
> wife has no retirement savings of any kind. Can she open a Roth IRA in
her
> name and make the maximum (ie $3k this year) contributions as well?
> Basically, can married couples contribute $6,000 in total to Roth
> IRA's this year... or does the $3,000 cap apply to couples' combined
> contributions?

If you have income of at least $6000 (to cover the contribution) and are
under the income limit for making contributions as you say you are, you can
contribute the maximum ($3000) to an account for each of you. Since you're
both working, it wouldn't really be a "spousal" IRA because those rules are
for situations with a non-working spouse.

Leigh

02-10-2004, 10:06 PM

George <ofthejungle[at]hotmail.com> writes:

- quote -

> Basically, can married couples contribute $6,000 in total to Roth
> IRA's this year.

Yes, as long as between the two of you there is at least $6,000
in earned income. And of course no more than $3,000 can be
contributed to any one spouse's IRAs.

--
Rich Carreiro rlcarr[at]animato.arlington.ma.us

#-1 02-10-2004, 09:04 PM

I've been looking at the rules for married couples making Roth IRA
contributions (combined income below $160,000... not a problem for us).
I've also noticed the rules about a working spouse making contributions for
a non-working spouse. However, I haven't found a straight answer for my
exact question.

My wife and I both work, each of us making well over $3,000. I have
a 401k and a Roth IRA (which I max-out every year) in my name alone, my
wife has no retirement savings of any kind. Can she open a Roth IRA in her
name and make the maximum (ie $3k this year) contributions as well?

Basically, can married couples contribute $6,000 in total to Roth
IRA's this year... or does the $3,000 cap apply to couples' combined
contributions?

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