Kerry is single and has AGI of $25,000 in 2019.During the year he contributes $5,000 to his Roth IRA.What is the amount of qualified retirement savings contributions credit to which he is entitled?
A)$200
B)$400
C)$800
D)$1,000

Question

Quizplus · Accepted Answer

Kerry is eligible for the saver's credit because he is single and his AGI is below the phase-out threshold. The credit is 10% of the first $2,000 of qualified retirement savings contributions, so Kerry's credit is $200.

Kerry Is Single and Has AGI of $25,000 in 2019