Are IRA Contributions Tax-Deductible?

Your may be able to score a tax break if you contribute to a certain type of IRA. Learn more about deduction income limits and other rules to see if you qualify.

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Updated Nov 13, 2025 · 1 min read

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One big advantage of investing in an individual retirement account is the tax benefits.

With a traditional IRA, you may receive a tax deduction for your contribution. That means the amount you add to your IRA could help lower your taxable income for the year, potentially decreasing the amount of taxes you'll owe. Here's how it works and how to figure out if you qualify.

Tax deductions for a traditional IRA

Your ability to receive a tax deduction for your traditional IRA contributions depends on a few factors, such as whether you are covered by a workplace retirement plan, your tax filing status and your annual income.

If you don't have a work retirement plan

If you (and your spouse if you’re married) don’t have a retirement plan at work, and you want to open a traditional IRA, your contributions will be tax-deductible.

Keep in mind that you must have income from work to contribute to an IRA. (Spouses who don’t have their own income may be eligible for a spousal IRA.)

» More: How to open an IRA

If you do have a work retirement plan

If you do have a retirement plan at work, or if your spouse does, then your ability to deduct contributions depends on your modified adjusted gross income (MAGI).

The income limits usually change each year due to IRS inflation adjustments, but the rules are the same: if your MAGI is below the limit, you’re eligible to claim a tax deduction for your traditional IRA contributions. At higher levels, that deduction is reduced, and later not eligible.

2025 traditional IRA tax deduction limits

Filing status	2025 traditional IRA income limit	Deduction limit
Single or head of household (and covered by retirement plan at work)	$79,000 or less.	Full deduction.
	More than $79,000, but less than $89,000.	Partial deduction.
	$89,000 or more.	No deduction.
Married filing jointly (and covered by retirement plan at work)	$126,000 or less.	Full deduction.
	More than $126,000, but less than $146,000.	Partial deduction.
	$146,000 or more.	No deduction.
Married filing jointly (spouse covered by retirement plan at work)	$236,000 or less.	Full deduction.
	More than $236,000, but less than $246,000.	Partial deduction.
	$246,000 or more.	No deduction.
Married filing separately (you or spouse covered by retirement plan at work)	Less than $10,000.	Partial deduction.
	$10,000 or more.	No deduction.

» Learn more about traditional IRA income limits

Note that the last day to contribute to a traditional IRA (and claim the deduction) for 2025 is tax day, April 15, 2026.

2026 traditional IRA tax deduction limits

Filing status	2026 traditional IRA income limit	Deduction limit
Single or head of household (and covered by retirement plan at work)	$81,000 or less.	Full deduction.
	More than $81,000, but less than $91,000.	Partial deduction.
	$91,000 or more.	No deduction.
Married filing jointly (and covered by retirement plan at work)	$129,000 or less.	Full deduction.
	More than $129,000, but less than $149,000.	Partial deduction.
	$149,000 or more.	No deduction.
Married filing jointly (spouse covered by retirement plan at work)	$242,000 or less.	Full deduction.
	More than $242,000, but less than $252,000.	Partial deduction.
	$252,000 or more.	No deduction.
Married filing separately (you or spouse covered by retirement plan at work)	Less than $10,000.	Partial deduction.
	$10,000 or more.	No deduction.

» See our picks for the best IRA accounts

Tax deductions: Roth IRA vs traditional IRA

Roth IRAs don’t offer a tax deduction for contributions. Instead, contributions are made with after-tax dollars. Because of that, the tax advantage with Roth IRAs comes later: in retirement, withdrawals from a Roth IRA are free.

Similar to a traditional IRA, investment earnings grow tax-deferred. Roth IRAs also have an income limit, which affects the ability to contribute. If your MAGI exceeds certain limits, you may be limited to how much you can directly contribute to a Roth IRA, or ineligible.

» Compare the differences: Roth vs. traditional IRA

Bottom line

Whether you can partially or fully deduct your traditional IRA contributions depends on three factors: income level, tax filing status and whether or not you (or your spouse) are covered by a retirement workplace plan.

Even if you can’t deduct your IRA contributions, you can still make contributions to that account. With a nondeductible IRA, you don’t get to claim an immediate tax deduction, but your money grows tax-deferred. When it comes time to withdraw in retirement, you’ll owe taxes on the investment earnings in a nondeductible IRA, but not on the money you contributed, assuming you follow the IRA withdrawal rules.

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1. IRS. IRA Deduction Limits. Accessed Apr 16, 2025.