The IRS has set new income limits for 2026 that determine who can contribute to Traditional and Roth IRAs. These limits affect millions of savers planning retirement contributions.
For 2026, married couples filing jointly face Roth IRA contribution eligibility phase-outs starting at higher income thresholds than single filers. If your household income exceeds certain levels, you lose the ability to contribute directly to a Roth IRA, though you may still qualify for a backdoor Roth strategy.
Traditional IRA contributions remain available to everyone regardless of income, but high-income earners lose the tax deduction for their contributions if they participate in an employer-sponsored retirement plan like a 401(k). Married couples filing jointly with incomes above a specific threshold cannot deduct Traditional IRA contributions.
The phase-out ranges widen slightly year to year as the IRS adjusts for inflation. Qualifying Widowers receive the same favorable treatment as Married Filing Jointly filers. Single filers and heads of household face lower income thresholds, making it easier to contribute across a wider income range.
Why this matters: These limits force higher earners to choose between backdoor Roth conversions, mega backdoor Roths through employer plans, or non-deductible Traditional IRA contributions. The phase-outs create tax planning opportunities and constraints depending on your income level.
Review your 2026 household income projection now. If you're close to a phase-out threshold, you have time to adjust strategy. Some savers deliberately manage income in specific years to stay below limits and preserve direct Roth contribution eligibility. Others coordinate backdoor Roth conversions with their regular contributions.
The complete 2026 phase-out numbers vary by filing status. Consult the IRS website or your tax professional for exact thresholds matching