Traditional and Roth IRA Contribution Limits
- If you’re under 50, you can contribute a total of up to $5,500 per year across all of your traditional and Roth IRA accounts -- if your taxable income was greater than $5,500 for the year.
- If you’re over 50, or will be turning 50 by the end of the year, you can contribute up to $6,500 across all of your traditional and Roth IRA accounts -- if your taxable income was greater than $6,500 for the year.
- If your taxable income was less than $5,500 (or $6,500 if you’re 50 or older) in a given year, you can only contribute up to the amount you received in taxable compensation.
- If you’re over 70 1/2, you are not eligible to make regular contributions to a traditional IRA, but you may still be eligible to contribute to a Roth IRA.
Income Restrictions for Roth IRAs
- Based on your income and filing status, you may not be eligible to contribute to a Roth IRA, or may only be able to contribute a reduced amount.
- For more detailed information, please refer to the IRS guidelines for the applicable contribution year.
SEP IRA Contribution Limits
For single employee sole proprietorships (meaning you are the only employee at your company), the contribution limits for SEP IRAs vary depending upon business revenues and your salary.
The current annual maximum is the lesser of:
- 25% of your compensation or
- $54,000 in 2017 ($55,000 in 2018)
Ellevest and Folio will cap your contributions to your Ellevest SEP IRA at $54,000 for contributions associated with 2017 tax filings and $55,000 for contributions associated with 2018 tax filings, but it is up to you (and your accountant) to determine the specific contribution and deduction limits that apply to you. You can find more details on the IRS website.