I have both a Traditional IRA and a Roth IRA. Each IRA has a maximum annual contribution of $4000. Is this maximum for each type or IRA individually, or is it a total for all IRAs?
If it is per type, then I could contribute $4000 to my Roth, and $4000 to my Traditional in the same year.
If it is total, I could contribute $4000 split between the two.
2007-03-16 07:18:51 · 4 answers · asked by Greenio 2 in Business & Finance ➔ Personal Finance
Yes you can split it any way you want to as long as you do not go over $4000 in aggregate.
2007-03-16 08:48:26 · answer #1 · answered by R Worth 4 · 3⤊ 0⤋
The way to figure out your maximum annual contribution is treat all your IRAs (traditional and Roth) as one big IRA. For 2006-2007, your maximum annual contribution is $4000. ($5000 if you age 50 and above). Last day to contribute to your IRAs for tax year 2006 is April 17, 2007.
For 2008, it goes from $4000 to $5000. ($6000 if you are age 50 and above).
2007-03-16 09:48:56 · answer #2 · answered by Anonymous · 6⤊ 0⤋
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2016-10-18 13:13:46 · answer #3 · answered by ? 4 · 0⤊ 0⤋
It's total for the year. You can put $2,000 in each or $4,000 in one.
2007-03-16 07:36:12 · answer #4 · answered by Faye H 6 · 2⤊ 0⤋