Minimal Changes for 2016
Every fall, the IRS announces the contibution and income limits for the next calendar year. For 2016, these limits see very minor changes.
Contribution Limits Unchanged
The total amount you can contribute to either a Roth IRA or a Traditional IRA remains unchanged at $5,500. People 50 and over can contribute an additional $1,000 for a total of $6,500.
Income Limits Bumped Up $1,000
You can only contribute to a Roth IRA, however, if your income is below a certain threshold. For single filers in 2016, that income threshold starts at $117,000 (up from $116,000) and ends at $132,000 (up from $131,000). In that range, your contribution is limited, eventually reaching zero. For married filers in 2016, that income threshold starts at $184,000 (up from $183,000) and ends at $194,000 (up from $193,000).
|Roth IRA Contribution Limit||$5,500||$5,500|
|Roth IRA Contribution Limit if 50 or over||$6,500||$6,500|
|Traditional IRA Contribution Limit||$5,500||$5,500|
|Traditional IRA Contribution Limit if 50 or over||$6,500||$6,500|
|Roth IRA Income Limits (for single filers)||Phase-out starts at $117,000; ineligible at $132,000||Phase-out starts at $116,000; ineligible at $131,000|
|Roth IRA Income Limits (for married filers)||Phase-out starts at $184,000; ineligible at $194,000||Phase-out starts at $183,000; ineligible at $193,000|