Print

Is a Traditional or Roth IRA right for you?

    Traditional IRA Roth IRA
  Can I open and contribute to an IRA at any age? Yes, you can open and contribute to a Traditional IRA at any age. Yes, you can open and contribute to a Roth IRA at any age.
  Is there a limit on how much I can contribute to an IRA? For 2023, you can contribute to a Traditional IRA up to:
  • $6,500, or
  • $7,500 if you were age 50 or older by the end of 2023.

For 2024, you can contribute to a Traditional IRA up to:

  • $7,000, or
  • $8,000 if you were age 50 or older by the end of 2024.
 For 2023, you can contribute to a Roth IRA up to:
  • $6,500, or
  • $7,500 if you were age 50 or older by the end of 2023.

For 2024, you can contribute to a Roth IRA up to:

  • $7,000, or
  • $8,000 if you were age 50 or older by the end of 2024.
  Are contributions to an IRA deductible? Yes, contributions to a Traditional IRA are deductible depending on your income, filing status, or whether your covered by a retirement plan. No, contributions to a Roth IRA are never deductible.
  Are there required minimum distributions from an IRA? Yes. RMD age beginning in the year 2023 has been changed from 72 to 73. No, you do not have to take distributions from a Roth IRA regardless of age.
  Are distributions from an IRA taxable? Distributions from a Traditional IRA are taxed as ordinary income. If you made nondeductible contributions, not all of the distribution is taxable. Distributions from a Roth IRA are not taxed as long as they are qualified distributions.
Mastering the Mental Game of Investing

Mastering the Mental Game of Investing

A video series to help you develop the mindset of a successful investor.

Watch the Series

Follow Davis Advisors