Roth IRA Income Limits for 2024 and 2025

Find out if you're eligible to fund a Roth IRA.

By Kailey Hagen – Updated Jan 25, 2025 at 10:27 PM

Key Points

Roth IRA annual limits are $7,000, or $8,000 if aged 50+.
Your modified adjusted gross income (MAGI) affects your ability to contribute with income phaseouts for high earners.
High earners can utilize a backdoor Roth IRA to get around direct contribution limits.

Roth IRAs offer some significant tax benefits, but, like all tax-advantaged retirement accounts, they're subject to annual contribution limits set by the IRS. In 2024 and 2025, the Roth IRA contribution limits for most people are $7,000, or $8,000 if you're 50 or older. But things get messier if you earn a lot of money.

Here's a closer look at how the IRS decides how much you're allowed to contribute to a Roth IRA annually.

Loading paragraph...

Which Roth IRA account is right for you?

Loading callout...

Loading paragraph...

Single, Head of Household, or Married Filing Separately if you did not live with your spouse at all during the year

Loading content_cards...

Married Filing Jointly or Qualifying Widow(er)

Loading content_cards...

Married Filing Separately if you lived with your spouse at any point during the year

Loading content_cards...

Loading paragraph...

Modified Adjusted Gross Income

Modified adjusted gross income (MAGI) is an income metric that is used to determine eligibility for certain tax deductions, credits, and additional taxes.

For many people, adjusted gross income (AGI) is the same as their MAGI. However, your MAGI is not listed on your tax return, so you will have to calculate it to be sure. To do this, start with your AGI. (Note that your AGI from past years is listed on previous tax returns if you want to start there, but you may have to do the math if you're looking for your AGI for the current year.) To calculate your AGI, take your gross income -- all the money you earn during the year -- and subtract certain tax-deductible expenses, including:

Half of self-employment taxes, if applicable
Student loan interest
Tax-deferred retirement plan contributions
Health insurance premiums, if you're self-employed
Tuition and fees
Health savings account (HSA) contributions
Educator expenses
Moving expenses, if you're a member of the military
Penalties on early retirement account withdrawals
Alimony paid, for pre-2019 divorce agreements

Then, because MAGI actually includes a few of those, add back these more common deductions, including:

Student loan interest
IRA contributions
Tuition and fees
Half of self-employment taxes
Employer-paid adoption expenses
Passive losses or passive income
Rental losses
Taxable Social Security payments
Foreign earned income or housing exclusions
Any losses from publicly traded partnerships

Loading paragraph...

High Net-Worth Individual (HNWI)

People who have amassed investable (or liquid) assets of $1 million or more.

To illustrate how this works, consider a 40-year-old married couple filing jointly with a MAGI of $242,000 who want to make a Roth IRA contribution for 2025. They would:

Subtract $236,000 from their MAGI of $242,000, leaving them with $6,000.
Divide $6,000 by $10,000. This leaves them with 0.6.
Multiply 0.6 by the $7,000 contribution limit for adults younger than 50 to get $4,200.
Finally, they would subtract the $4,200 from the $7,000 limit and end up with a maximum contribution of $2,800 for each spouse for the year.

Keep in mind that all of your IRA contributions count toward the same limit, so if you've also contributed some money to a traditional IRA this year, that could reduce your maximum Roth IRA contribution even further. You must make sure your total annual individual retirement account (IRA) contributions remain less than $7,000, or $8,000 if you're 50 or older for 2024 and 2025.

Loading paragraph...

Related retirement topics

Loading paragraph...

What Is an IRA and How Does It Work?

Under the umbrella of individual retirement accounts, there are many options.

401(k) to Roth IRA Conversion

Looking to turn your 401(k) into a Roth IRA? Here's how and why it's a good idea.

What to Know About the Roth IRA Five-Year Rule

All investors should be aware of these three five-year rules. You may need to wait before you can access your Roth IRA funds.

Choosing a Roth IRA vs. a 401(k)

There are several differences between the two, especially when it comes to taxes.

Loading hub_pages...

Most people won't have to worry about Roth IRA income limits, but if you're a high earner, keep these in mind so you don't accidentally wind up with a Roth IRA excess contribution. Income and contribution limits may change from year to year, so check them every year to figure out exactly how much you're allowed to contribute.

Loading paragraph...

About the Author

Kailey Hagen, CFP, is a contributing Motley Fool retirement analyst covering Social Security, Medicare, and retirement planning. Before The Motley Fool, Kailey was a research analyst for Reviews.com focusing on credit and banking products. She is a Certified Financial Planner® and holds a bachelor’s degree in English from the University of Wisconsin-Madison.

TMFKailey

The Motley Fool has a disclosure policy.