Question

Dana, age 31 and unmarried, is an active participant in a qualified retirement plan. Her AGI is $120,000. What amount, if any, may Dana contribute to a Roth IRA in 2015?

a. $0
b. $3,225
c. $4,033
d. $5,500
e. None of the above

Answer 1

Dana can contribute up to $5,500 to a Roth IRA in 2015.

Step-by-step explanation:

In 2015, Dana can contribute up to $5,500 to a Roth IRA. The maximum contribution limits for IRAs can change each year, but for 2014 and 2015, the limit is $5,500. If Dana is 50 years old or older, she can contribute an additional $1,000 as a catch-up contribution, bringing the total limit to $6,500. Since Dana's AGI is $120,000, she is eligible to contribute the maximum amount of $5,500 to a Roth IRA in 2015.