You are eligible if you earn compensation and your MAGI* is less than the defined limits set by Congress. If your MAGI is too high to contribute the annual contribution limit, you may be able to make a smaller contribution.


Anyone under the age 70½ who has income from compensation (or who is filing jointly with a spouse who earns compensation).

Anyone who has received a distribution from a qualified retirement plan and decides to move the proceeds of the plan into an IRA.

You may be able to contribute up to $5,000

For owners age 50 and older, you may be able to contribute up to $6,000

Contributions cannot exceed compensation


You may be able to contribute up to $5,000

For owners age 50 and older, you may be able to contribute up to $6,000

Contributions cannot exceed compensation

No one can deduct contributions

• Single individuals not active in employer retirement plans
• Single individuals active in qualified retirement plans with MAGI below defined limits
• Married couples with neither spouse active in an employer retirement plan
• Married individuals active in employer retirement plans with joint tax returns with MAGI below defined limits
• Married individuals not active in qualified retirement plans filing joint tax returns with spouses who are, as long as MAGI is below defined limits

• Earnings are tax-deferred and withdrawals are tax-free if the account is open for five tax years and withdrawals are for a qualified reason (age 59½, disability, death, or a first-time home purchase**
• Not required to start withdrawals at age 70½

• Earnings grow tax-deferred until withdrawn
• Contributions may be tax-deductible

• Regular contributions can be withdrawn tax-free and penalty-free at any time
• After the account has been open five tax years, earnings can be withdrawn tax-free and penalty–free for any of these reasons: age 59½, disability, death, or a first-time home purchase**

Withdraw penalty-free for any of the following reasons:

• Qualified higher-education expenses
• First-time home purchase*
• Age 59½
• Disability
• Qualifying medical expenses exceeding 7.5% of adjusted gross income
• Payment of beneficiaries upon the owner’s death
• Payment of health insurance premiums while unemployed for 12 weeks or longer