Airline Pilot Forums

Airline Pilot Forums was designed to be a community where working airline pilots can share ideas and information about the aviation field. In the forum you will find information about major and regional airline carriers, career training, interview and job seeker help, finance, and living the airline pilot lifestyle.

View Full Version : IRA limit

03-14-2007, 09:38 AM
If your total income is 165K, but you and your wife put 31k in the 401k accounts would you be able to contribut to an IRA.

I am recieving different answers from " Tax professionals", and was wondering if anyone was in this position before and what answers they recieved.


03-14-2007, 10:04 AM


03-14-2007, 02:11 PM
look into a Roth 401(k)- some contributions are tax deductible in the sense that they get pretaxed and when you pull them out IN retirement you dont get the shaft.

03-14-2007, 07:48 PM
You can always contribute to an IRA. Just can't always deduct the contribution for a traditional IRA. And, can't always contribute to a Roth IRA.

Traditional IRA stops being deductible when your modified AGI (eg Your W-2 taxable earnings with some adjustments) exceeds 85k for married filing jointly.

for a Roth IRA, modified AGI cap married filing jointly is 160k.

So, if you grossed 165, and put more than 5k into a 401(k) you will have reduced your income level below the Roth Cap.

For IRA purposes, earnings do not include any deferred compensation.