Are IRA Contributions Tax-Deductible?
Your may be able to score a tax break if you contribute to a certain type of IRA. Learn more about deduction income limits and other rules to see if you qualify.
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Beyond saving for retirement, one big advantage of investing in an IRA is that your contribution could be tax-deductible.
That means the amount you add to your IRA could help lower your taxable income for the year, potentially decreasing the amount of taxes you'll owe. Here's how it works and how to figure out if you qualify.
Which IRA accounts offer tax-deductible contributions?
Only traditional IRAs offer the potential for tax-deductible contributions. If you qualify, you could get a tax break for making contributions now, but future withdrawals made during retirement will be taxed as ordinary income.
The alternative to the traditional IRA is the Roth IRA, which doesn't offer a tax deduction upfront, but withdrawals in retirement are tax-free. It's ideal for those who expect to be in a higher tax bracket at retirement or want to avoid required minimum distributions (RMDs).
» Compare the differences: Roth vs. traditional IRA
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How IRA tax deductions work
Your ability to receive a tax deduction for your traditional IRA contributions depends on a few factors, such as whether you are covered by a workplace retirement plan, your tax filing status and your income.
If you don't have a work retirement plan
If you (and your spouse if you’re married) don’t have a retirement plan at work, and you want to open a traditional IRA, your contributions will be tax-deductible.
Keep in mind that you must have income from work to contribute to an IRA. (Spouses who don’t have their own income may be eligible for a spousal IRA.)
» More: How to open an IRA
If you do have a work retirement plan
If you do have a retirement plan at work, or if your spouse does, then your ability to deduct contributions depends on whether your modified adjusted gross income (MAGI) is above the annual traditional IRA income limits. These income limits usually change each year, due to IRS inflation adjustments.
For example, in 2025, if you have a retirement plan at work, you cannot deduct your contributions to an IRA if you earn more than $89,000 as a single filer or more than $146,000 as a joint filer. If your spouse has a retirement plan at work but you don't, that joint filer limit is $246,000.
» See our picks for the best IRA accounts
2024 and 2025 IRA tax deduction tables
Below, you'll find tables with the full 2024 and 2025 IRA deduction limits for people with retirement plans at work (or spouses with workplace plans). Note that the last day to contribute to a traditional IRA for 2024 is tax day, April 15, 2025.
If your modified adjusted gross income is under the limits below, you’re eligible to claim a tax deduction for your contributions to a traditional IRA.
If you’re in the income phase-out range, you can deduct a portion of your contributions.
If your income is higher than the maximum income limit, then you can’t deduct your IRA contribution.
2024 IRA tax deduction limits
Filing status | 2024 traditional IRA income limit | Deduction limit |
|---|---|---|
Single or head of household (and covered by retirement plan at work) | $77,000 or less. | Full deduction. |
More than $77,000, but less than $87,000. | Partial deduction. | |
$87,000 or more. | No deduction. | |
Married filing jointly (and covered by retirement plan at work) | $123,000 or less. | Full deduction. |
More than $123,000, but less than $143,000. | Partial deduction. | |
$143,000 or more. | No deduction. | |
Married filing jointly (spouse covered by retirement plan at work) | $230,000 or less. | Full deduction. |
More than $230,000, but less than $240,000. | Partial deduction. | |
$240,000 or more. | No deduction. | |
Married filing separately (you or spouse covered by retirement plan at work) | Less than $10,000. | Partial deduction. |
$10,000 or more. | No deduction. |
2025 IRA tax deduction limits
Filing status | 2025 traditional IRA income limit | Deduction limit |
|---|---|---|
Single or head of household (and covered by retirement plan at work) | $79,000 or less. | Full deduction. |
More than $79,000, but less than $89,000. | Partial deduction. | |
$89,000 or more. | No deduction. | |
Married filing jointly (and covered by retirement plan at work) | $126,000 or less. | Full deduction. |
More than $126,000, but less than $146,000. | Partial deduction. | |
$146,000 or more. | No deduction. | |
Married filing jointly (spouse covered by retirement plan at work) | $236,000 or less. | Full deduction. |
More than $236,000, but less than $246,000. | Partial deduction. | |
$246,000 or more. | No deduction. | |
Married filing separately (you or spouse covered by retirement plan at work) | Less than $10,000. | Partial deduction. |
$10,000 or more. | No deduction. |
» Learn more about traditional IRA income limits
Bottom line
Whether you can partially or fully deduct your traditional IRA contributions depends on three factors: income level, tax filing status and whether or not you (or your spouse) are covered by a retirement workplace plan.
Even if you can’t deduct your IRA contributions, you can still make contributions to that account. With a nondeductible IRA, you don’t get to claim an immediate tax deduction, but your money grows tax-deferred. When it comes time to withdraw in retirement, you’ll owe taxes on the investment earnings in a nondeductible IRA, but not on the money you contributed, assuming you follow the IRA withdrawal rules.
