| |
Traditional IRA |
Roth IRA |
Coverdell ESA |
| Annual Contribution Limit (AGI Dependent) |
$5,000 |
$5,000 |
$2,000 per child (until age 18) |
| AGI Eligibility Ceiling |
Must Have Earned Income |
Must Have Earned Income |
Must Have Earned Income |
| Individual |
· Full contribution for less than $55,000 · Partial contribution between $55,000 - $65,000 · No contribution to $65,000 and over |
· Full contribution for less than $107,000 · Partial contribution between $107,000 - $122,000 · No contribution to $120,000 and over |
· Full contribution for less than $105,000 · Partial contribution between $105,000 - $120,000 · No contribution to $120,000 and over |
| Married filing jointly |
· Full contribution for less than $89,000 · Partial contribution between $89,000 - $109,000 · No contribution to $109,000 and over |
· Full contribution for less than $169,000 · Partial contribution between $169,000 - $179,000 · No contribution to $179,000 and over |
· Full contribution for less than $166,000 · Partial contribution between $166,000 - $176,000 · No contribution to $176,000 and over |
| Tax Deductibility of Contributions |
Up to 100% (depending on Annual Gross Income and participation in an employer-sponsored pension plan, such as a 401(k)) |
None |
None |
| Contributions Permitted After Age 70 1/2 |
No |
Yes |
If rolled over or transferred |
| Tax-Free At Time of Withdrawal |
No |
Yes (provided funds were undisturbed in the account at least five years) |
Yes (for qualifying post-secondary education expenses |
| Mandatory Distribution |
Yes (age 70 1/2) |
No |
No (but to avoid taxation, deplete for education purposes by age 30 or transfer to another eligible child) |