Precious Metals
The ability to save for retirement isn’t the only reason people begin contributing to an individual retirement account (IRA). Contributions to your IRA can also be tax-deductible, leaving more money in your pocket at tax time.
An IRA tax deduction is one of the added benefits of making contributions to an IRA, in addition to the tax-free or tax-deferred growth on earnings. The more you know about the tax advantages of an IRA, the better you will be able to grow your retirement savings.
The tax advantages you can earn from contributing to an IRA are one of the many reasons this type of investment is worthwhile. So before you submit your tax return, learn more about IRA tax deductions.
Modified Adjusted Gross Income, better known as MAGI, is used to determine eligibility for many things nowadays, including healthcare premiums, insurance costs, and IRA tax deductions. MAGI is fairly similar to Adjusted Gross Income (AGI), and for many people it may be the same. Still, it is important that you do not confuse the two when determining how much your tax deduction could be for an IRA contribution.
For 2021 for those filing as single or head of household, a full deduction up to the amount of your contribution limit can be taken if your MAGI is $66,000 or less. A partial deduction will be granted if your MAGI is over $66,000 but less than $76,000 per year. And if your MAGI is over $76,000, you can’t take a deduction.
If you’re married filing jointly, you can take a full deduction if your MAGI is $105,000 or less. If your MAGI is more than $105,000 but less than $125,000, you can take a partial deduction. And if your MAGI is $125,000 or more, you can’t take a deduction.
If you have detailed questions about tax deductions related to IRA contributions, you’ll want to consult your tax advisor. And if you want to learn more about how to open an IRA, contact one of the experts at Goldco.
Free Precious Metals Guide
Complete the Form Below
Free Precious Metals Guide
Complete the Form Below
Many Americans today are looking at ways to help safeguard their wealth With growing economic uncertainty, more and more people are worried about the possibility of recession or other financial...
With the potential uncertainty growing all the time, more and more people are looking at ways to help safeguard their wealth against the possibility of recession and financial turmoil Millions of...
With fear of potential recession growing and inflation rising , more and more Americans are looking to help safeguard their assets Many are choosing to buy precious metals like gold and silver,...
CUSTOMER CARE
DISCLAIMER: This site is general in nature and not tailored to the specific goals of any individual. Purchasing precious metals may carry risk. Some of those risks associated with precious metals include the following: prices may rise and fall, which means the value of your metals may go up or down over time and you may sell for more or less than you paid. Past performance does not guarantee future results. Goldco cannot guarantee, assure, or promise future market movement, prices, or profits. Customers should understand that all purchases have some degree of risk. Customers should make certain that they understand the correlation between risk and return. Commodities involve risk and are not suitable for all investors. There is no assurance that commodities, i.e. precious metals, will achieve their objectives. Return and principal value will fluctuate and your portfolio, when redeemed, may be worth more or less than the original cost. Even though Goldco and its representatives are precious metals specialists, we are not licensed financial advisors and do not give financial advice. Additionally, Goldco cannot provide tax or legal advice and will not advise as to the tax or legal consequences of purchasing or selling precious metals or opening a Precious Metals IRA. Individuals should consult with their investment, legal or tax professionals for such services.
