You can contribute to both a traditional IRA and a Roth IRA in the same year, but your total contributions across both accounts cannot exceed the annual limit set by the IRS.
The IRS treats traditional and Roth IRAs as a single category for contribution purposes. This means if you contribute $3,000 to a traditional IRA, you can only add $3,500 to a Roth IRA that same year (assuming the 2024 limit of $6,500 for those under 50). You cannot split the full limit between the two accounts — the combined total is what matters.
The reason people consider this strategy is that it lets you hedge between tax-deductible contributions now and tax-free withdrawals later. You might put money in a traditional IRA for the immediate tax deduction, then contribute to a Roth IRA to build a pool of money you can withdraw tax-free in retirement. Both accounts can grow at the same time, but the contribution bucket is shared.
Key Takeaways
- Your combined contributions to traditional and Roth IRAs cannot exceed the annual IRS limit, which is $6,500 for 2024 if you are under 50 years old.
- Income limits apply only to Roth IRA contributions; if your income is too high, you cannot contribute to a Roth but can still contribute to a traditional IRA.
- A traditional IRA contribution may be tax-deductible depending on your income and whether you have access to a workplace retirement plan.
- You must have earned income (from work) in the year you contribute to either account, and contributions must be made by the tax filing deadline.
How the contribution limit works across both accounts
The IRS sets an annual limit on how much you can put into IRAs combined. For 2024, that limit is $6,500 if you are under 50, and $7,500 if you are 50 or older (the extra $1,000 is called a catch-up contribution). This limit applies to the total of all your IRAs — traditional, Roth, SEP, and SIMPLE — added together.
If you contribute $2,000 to a traditional IRA in January, you have $4,500 left to contribute to a Roth IRA that same year. If you try to put $5,000 into the Roth, the IRS will treat the excess $500 as an over-contribution, and you will owe a 6 percent penalty tax on that amount each year it sits in the account unless you remove it.
The limit resets on January 1 each year. Contributions for a tax year can be made anytime from January 1 through the tax filing deadline — usually April 15 of the following year — so you have several months to decide how to split your money between the two account types.
Income limits for Roth contributions but not traditional
A Roth IRA has income limits that phase out your ability to contribute once you earn above a certain amount. For 2024, if you file as single, you cannot contribute to a Roth if your modified adjusted gross income (MAGI) is $146,000 or more. If you are married filing jointly, the limit is $230,000. These numbers change each year.
A traditional IRA has no income limit on who can contribute. However, if you have access to a workplace retirement plan (like a 401(k) or 403(b)), the tax deduction for a traditional IRA contribution phases out at higher incomes. This means you can still put money in a traditional IRA, but you may not get to deduct it from your taxes.
This creates a common strategy: if your income is too high for a Roth, you can contribute to a traditional IRA (even if the contribution is not deductible) and then convert it to a Roth. This is called a backdoor Roth conversion, though it has its own rules and tax consequences you should understand before attempting it.
Tax treatment of contributions to each account type
Money you put into a traditional IRA may be tax-deductible in the year you contribute it, which lowers your taxable income on that year's tax return. Whether you can deduct it depends on your income and whether you or your spouse have access to a workplace retirement plan. If you can deduct it, you pay no income tax on that contribution in the year you make it, but you will owe income tax when you withdraw the money in retirement.
Money you put into a Roth IRA is never deductible. You contribute after-tax dollars — money you have already paid income tax on. In exchange, you pay no income tax on the money when you withdraw it in retirement, as long as the account has been open for at least five years and you are at least 59½ years old.
When you contribute to both accounts in the same year, you are essentially splitting your contribution between a tax-deductible bucket (traditional) and a tax-paid bucket (Roth). This can be useful if you want some flexibility in retirement about which account to draw from, or if you expect your tax rate to be higher in retirement than it is now.
Earned income requirement for both accounts
You cannot contribute to either a traditional or Roth IRA unless you have earned income in that year. Earned income means money you made from working — wages, salary, self-employment income, or taxable alimony. It does not include investment income, Social Security, pensions, or money from a spouse's earnings (though a spouse with no income can contribute to a spousal IRA if their spouse has enough earned income).
The amount you can contribute is limited to the lesser of the annual IRS limit or your total earned income for the year. If you earned $4,000 in 2024, you can contribute a maximum of $4,000 combined across all your IRAs, even though the standard limit is $6,500.
Contribution deadlines and record-keeping
Contributions for a given tax year must be received by your IRA provider by the tax filing deadline — April 15 of the following year (or later if you file an extension). Money you deposit in January 2025 is treated as a 2025 contribution unless you specifically tell your IRA provider to treat it as a 2024 contribution.
Keep records of all contributions you make to both accounts. If you contribute to a traditional IRA and cannot deduct the contribution, file IRS Form 8606 with your tax return that year. This tells the IRS you paid tax on that money, so you do not pay tax on it again when you withdraw it. Failure to file this form can result in double taxation of that money.
Your IRA provider will send you a Form 5498 each year showing the contributions you made. Keep this document with your tax records. If you ever convert a traditional IRA to a Roth, you will need documentation of any non-deductible contributions you made, so tracking this from the start is important.
When splitting contributions between accounts makes sense
Contributing to both accounts in the same year works best if you want tax diversification in retirement — some money that was taxed going in (Roth) and some that will be taxed coming out (traditional). This gives you flexibility to manage your tax bill in any given year of retirement by choosing which account to withdraw from.
It also makes sense if your income is near the Roth phase-out limit. You might contribute the maximum to a Roth while you still can, then put any remaining contribution room into a traditional IRA. As your income rises in future years, you may lose the ability to contribute to a Roth, so maximizing Roth contributions while may be able to access can be valuable.
Another scenario is if you are self-employed or have variable income. You might contribute to a traditional IRA early in the year for the tax deduction, then see how much you earned by year-end and decide whether to contribute to a Roth with any remaining room. This approach lets you adjust your strategy based on actual income rather than guessing at the start of the year.
Frequently Asked Questions
If I contribute to a traditional IRA, does that reduce how much I can put in a Roth?
Yes. The IRS limit applies to your total contributions across all IRAs. If you contribute $3,000 to a traditional IRA, you have only $3,500 left of the $6,500 annual limit for a Roth IRA (assuming 2024 limits and age under 50). The two accounts share the same contribution bucket.
Can I deduct a traditional IRA contribution if I also contribute to a Roth?
The deductibility of a traditional IRA contribution depends on your income and access to a workplace retirement plan, not on whether you contribute to a Roth. You can contribute to both, but whether the traditional contribution is deductible is determined by your MAGI and plan access, separate from the Roth contribution.
What happens if I accidentally over-contribute to both accounts?
The IRS charges a 6 percent excise tax on the excess amount each year it remains in the accounts. You can remove the excess contribution and any earnings on it by the tax filing deadline to avoid the penalty, but you will owe income tax on the earnings. It is better to track your contributions carefully throughout the year to avoid this.
Can my spouse and I each contribute to both a traditional and Roth IRA?
Yes. Each person has their own $6,500 limit (or $7,500 if 50 or older) for 2024. If you are married filing jointly, you each can contribute to a traditional IRA and a Roth IRA in the same year, as long as you each have earned income and stay within your individual limits.