IRA Contribution Calculator 2026

How IRA Contribution Limits Work in 2026

An Individual Retirement Account (IRA) is a tax-advantaged savings vehicle that helps Americans build retirement wealth. For 2026, the IRS allows a maximum contribution of $7,000 per person, or $8,000 if you are age 50 or older (the extra $1,000 is a catch-up contribution). These limits apply to the combined total across all your Traditional and Roth IRA accounts — you cannot contribute $7,000 to each.

Your actual contribution limit may be lower than the IRS maximum depending on your earned income. If your taxable compensation is less than $7,000, your contribution limit equals your earned income. For married couples filing jointly, even a non-working spouse can contribute to an IRA based on the working spouse's income, known as a spousal IRA.

Roth IRA Income Phase-Out Rules

Roth IRA contributions are subject to income limits that can reduce or eliminate your ability to contribute. For 2026, single filers with modified adjusted gross income (MAGI) between $150,000 and $165,000 receive a reduced contribution limit. Above $165,000, direct Roth contributions are not allowed. Married couples filing jointly phase out between $236,000 and $246,000. Those filing separately phase out between $0 and $10,000. When your income falls within the phase-out range, the IRS formula proportionally reduces your maximum Roth contribution.

If your income exceeds the Roth limit, you may still be able to use a backdoor Roth strategy — contributing to a Traditional IRA (non-deductible) and then converting to Roth. Consult a tax professional before attempting this, as the pro-rata rule may create unexpected tax consequences if you hold other Traditional IRA balances.

Traditional IRA Tax Deduction Eligibility

Anyone with earned income can contribute to a Traditional IRA regardless of income, but the tax deduction depends on whether you or your spouse participates in a workplace retirement plan. If you have a workplace plan (401k, 403b, etc.), the deduction phases out for single filers between $77,000 and $87,000 MAGI, and for married filing jointly between $123,000 and $143,000. If only your spouse has a workplace plan, the phase-out range for your deduction is $230,000 to $240,000.

When neither spouse has a workplace plan, the full Traditional IRA deduction is available at any income level. Even if your deduction is reduced or eliminated, you can still make non-deductible Traditional IRA contributions up to the annual limit. Last updated: April 2026, based on IRS Publication 590-A for tax year 2026.

Roth vs Traditional IRA: Which Is Better?

The choice between Roth and Traditional IRA depends primarily on your current versus expected future tax rate. A Roth IRA uses after-tax dollars with tax-free growth and withdrawals in retirement — ideal if you expect higher taxes later. A Traditional IRA offers an upfront tax deduction with taxes due on withdrawals — better if you are in a high bracket now and expect lower income in retirement. Many financial advisors recommend contributing to both types across your career to create tax diversification in retirement.