Harvey, aged 56, is married, filing jointly, and is not an active participant in a qualified plan.
Question:
Harvey, aged 56, is married, filing jointly, and is not an active participant in a qualified plan. However, his wife, Sophie, is an active participant in a qualified retirement plan. Harvey's compensation is $81,000 and their combined modified AGI is $170,000 in 2019.
Click here to access Exhibit 11.2. Do not round intermediate computations. If an amount is zero, enter "0".
a. The maximum Harvey can contribute $ _________to his traditional IRA, and he can deduct $_________. His wife Sophie can make a $__________ deductible IRA contribution.
b. Assume instead that Harvey is a participant in a SIMPLE IRA and that he elects to contribute 3% of his compensation to the account, while his employer contributes 2%.
Harvey will contribute $__________ to his SIMPLE IRA account. His employer will contribute $_________. The amount that will vest immediately is $.
South-Western Federal Taxation 2018 Comprehensive
ISBN: 9781337386005
41st edition
Authors: David M. Maloney, William H. Hoffman, Jr. , William A. Raabe, James C. Young