How Much Can You Contribute to an IRA in 2020?

Each year, the IRS announces individual retirement account (IRA) contribution limits, traditional IRA deduction income limits, and Roth IRA contribution income limits. Not only is there a maximum amount that Americans can contribute to their IRAs each year, but not everyone is eligible for both types of IRAs.

Here's a quick guide for the 2020 tax year that can help you figure out how much you'll be allowed to contribute.

While there are several inflation-related tax changes taking place in 2020, one thing that's staying the same is the IRA contribution limit. IRA owners are allowed to contribute a maximum of $6,000 to their accounts in 2020, with an additional $1,000 catch-up contribution allowed for savers who have already reached their 50th birthdays.

Source Fool.com