2012 Roth IRA Contribution Limits

Note: Assuming your IRA was opened by Dec. 31, 2012, you have until the tax filing deadline–April 15, 2013–to make a 2012 contribution. The income/contribution limits have increased for the 2013 tax year. Click here for the details.

Starting in 2012 the maximum contribution you can invest into a Roth IRA is indexed to inflation. Despite inflation ranging in the 3% to 4% range for 2011, the IRS has left the maximum contribution limit unchanged for the 2012 tax year.

For regular contributions the limit is $5,000 in 2012. For catch-up contributions for individuals over age 50 the contribution limit is an additional $1,000, bringing the total to $6,000 per year.

History of Roth IRA Contribution Limits

Contribution limits have changed significantly since the Roth IRA was introduced. In 2002 the limit was only $3,000 and has now increased 66% from that time to $5,000.

Similar changes have been made to catch-up contribution limits. Starting in 2006 the catch-up contribution limit for those over age 50 doubled from $500 to $1,000.

Moving forward the IRS will change the contribution limits based on inflation in the economy.