Joyce, age 40, and Sam, age 42, who have been married for seven years, are both active participants in qualified retirement plans.Their total AGI for 2019 is $130,000.Each is employed and earns a salary of $65,000.What are their combined deductible contributions to traditional IRAs?
A)$0
B)$3,000
C)$4,000
D)$12,000
E)None of the above

Question

Quizplus · Accepted Answer

Since both Joyce and Sam are active participants in qualified retirement plans and their combined AGI exceeds the phase-out range for married couples filing jointly for the year 2019, they cannot deduct their contributions to traditional IRAs.

Joyce, Age 40, and Sam, Age 42, Who Have Been