IRA Deduction Amount
What is the IRA contribution amount you can deduct?
You can generally deduct up to the amount of your IRA contributions. As you learned previously,
your IRA contributions are limited to the smaller of your:
total taxable compensation (earned income and alimony or separate maintenance payments) or
$5,000 if age 50 or older
Exception to IRA deduction amount
However, if you (or your spouse) were covered by an employer retirement plan at any time during
the year, the amount you may deduct may be reduced or eliminated depending on your AGI.