The Roth IRA contribution limits are:
|Year||49 And Under||50 And Over|
As you can see, if you’re over 50 then you’re given a “catch-up” contribution.
The income phaseout schedule is based on your modified adjusted gross income, which is your income minus some deductions. The income phaseout schedule is:
|Filing Status||Income Floor||Income Ceiling|
|Single, Head of Household||$95,000||$110,000|
|Married Filing Separately||$0||$10,000|
|Married Filing Jointly||$150,000||$160,000|
The phaseout is linear, so if you are single then at $95,000 then you could contribute $4,000 in 2006. If you made $110,000 then your contribution is $0. If you made $100,000, then your contribution would be limited to $1333.33.
One little known fact: If you’re under the income ceiling, your phaseout’s minimum contribution is $200. So, if your MAGI were $109,999, your contribution limit is $200, not some miniscule proportionate number.