IRA Conrtibution Limits
The maximum annual IRA contribution for 2008 is $5,000 for anyone person under the age of 50. For anyone over the age of 50 it is $6,000 (see chart below). For example, if you are a 49 year old woman you may contribute up to $416.66 per month into a IRA (416.66 x 12 = 5,000). If you are a 50 year old woman opening an IRA you may contribute an even $500.00 into this account (500 x 12 = 6,000). Keep in mind that these funds must remain in this account for 5 years for them to be tax deferred.
Anyone planning on opening an IRA MUST BE EMPLOYED! These trusts were set up to help EMPLOYED individuals save for retirement. These trusts were not set up for individuals on welfare trying to multiply their handouts. However, there is an exception that allows Roth IRA accounts for nonworking spouses. If you and your spouse file a joint return but one does not work, the employed spouse can open and contribute to a Roth IRA for the unemployed partner. Typically the contribution limits for a spousal IRA are the same as for the account held by the working wife or husband.
The IRA and the ROTH IRA are arguably molded around benefiting the middle class. If you are unemployed, get a job then contribute, if you make too much money you are also banned from the IRA club (however it is speculated that in 2010 people making over $100,000 will also be eligible to contribute to an IRA or Roth IRA). You can view the exact rules and regulations at http://www.irs.gov/.
IRA Contribution Limits
| YEAR | AGE 49 & BELOW | AGE 50 & ABOVE |
| 2002-2004 | $3,000 | $3,500 |
| 2005 | $4,000 | $4,500 |
| 2006-2007 | $4,000 | $5,000 |
| 2008 | $5,000 | $6,000 |
