With less than two months to go before 2009, I though it would be worth taking a look at IRA contribution limits for 2009. As of 2008, contribution limits are indexed to inflation and will increase in $500 increments (as necessary). Unfortunately, there’s not much to report here, as the limits are staying the same in 2009 as they were in 2008. What follows is a table of contributions limits starting back in 2002, and running through next year.
|Year||Under Age 50||Age 50+|
|2002-2004||$3, 000/year||$3, 500/year|
|2005||$4, 000/year||$4, 500/year|
|2006-2007||$4, 000/year||$5, 000/year|
|2008||$5, 000/year||$6, 000/year|
|2009||$5, 000/year||$6, 000/year|
The silver lining here is that the cutoffs for making Roth IRA contributions and for deducting Traditional IRA contributions have increased 2009.
Roth IRA Contribution Thresholds
If you’re married and filing jointly, you can make your full Roth IRA contribution as long as your modified adjusted gross income (MAGI) is below $159k, and your ability to contribute phases out entirely at $169k. For single filers, the thresholds are $101k and $116k.
Traditional IRA Deduction Thresholds
If you’re married and filing jointly, you can make deduct your full Traditional IRA contributions as long as your MAGI is below $85k, and your ability to deduct contributions phases out entirely at $105k. For single filers, the thresholds are $53k and $63k.
Deadlines for Contributing
Remember, you can make 2008 contributions all the way up to April 15, 2009. As for 2009 contributions, you can start as early as January 2nd, 2009 with a deadline on the back end of April 15, 2010.
*As of this writing, the IRS has not released Publication 590 for 2008. However, this information (for 2008) can be found in the 2007 version of Publication 590, as well as from multiple other reputable sources.