These Are the 2023 Roth IRA Limits (They’re Higher Than Ever)

A Roth IRA comes with seriously sweet benefits for retirement savers.

It’s an individual retirement account — that means you open and fund it, not your employer.

Here’s the best thing about it: You invest money you’ve already paid taxes on. Your money grows… and grows… and once you reach age 59 ½ and you’ve had the account for at least five years, all those earnings are yours tax-free. Plus, you can withdraw your contributions whenever you want without paying taxes or penalties.

Because Roth IRAs Tax savings are generous, Uncle Sam limits how much you can contribute and how much you can earn to be eligible to contribute to one.

Here are the Roth IRA limits you need to know about.

Roth IRA Limits for 2023

The IRS typically adjusts Roth IRA contribution and income limits every year. These are the limits for 2023.

Roth IRA Contribution Limits: How Much Can You Invest?

If you’re under age 50, you can contribute up to $6,500 to an IRA in 2023. That’s a $500 increase from the $6,000 limit in 2022. If you’re 50 or older, you can contribute an extra $1,000, meaning your limit is $7,500, up from $7,000 in 2022.

Note that these are the limits for your overall IRA contributions. If you have both a Roth IRA and a traditional IRA and you’re under 50, your total contributions to both accounts can’t be more than $6,500.

What about married people? A couple can’t open an IRA. Remember: It’s an IRA. individual retirement account.

Provided that you’re eligible under the Roth IRA rulesyou could each open a Roth IRA and contribute up to the maximum, so you’d contribute a total of up to $13,000 between your two IRAs, or up to $15,000 if you’re both part of the 50-plus crowd.

Pro Tip

You can fund your Roth IRA for the year all the way up to the tax-filing deadline, so you have until April 18, 2023, to max out your contribution for 2022.

Roth IRA Income Limits: Do You Earn Too Much?

First off, to contribute to any type of IRA,…

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