Editing Roth IRA (section)

==Overview==
A Roth IRA can be an individual retirement account containing investments in [[securities]], usually [[common stock|common stocks]] and [[bond (finance)|bonds]], often through [[mutual fund|mutual funds]] (although other investments, including derivatives, notes, [[Certificate of deposit|certificates of deposit]], and real estate are possible). A Roth IRA can also be an individual retirement [[Annuity (US financial products)|annuity]], which is an annuity contract or an endowment contract purchased from a life insurance company. As with all IRAs, the [[Internal Revenue Service]] mandates specific eligibility and filing status requirements. A Roth IRA's main advantages are its tax structure and the additional flexibility that this tax structure provides. Also, there are fewer restrictions on the investments that can be made in the plan than many other tax-advantaged plans, and this adds somewhat to their popularity, though the investment options available depend on the trustee (or the place where the plan is established).<ref>{{Cite web|title=What is a Roth IRA|url=https://www.schwab.com/ira/roth-ira/what-is-a-roth-ira|access-date=2020-09-23|website=Schwab Brokerage|language=en}}</ref>

The total contributions allowed per year to all IRAs is the lesser of one's taxable compensation (which is not the same as [[adjusted gross income]]) and the limit amounts as seen below (this total may be split up between any number of traditional and Roth IRAs. In the case of a married couple, each spouse may contribute the amount listed): 

{| class="wikitable"

 !|
 !|Age 49 and Below
 !|Age 50 and Above
 |-
 | style="text-align: center" | 1998–2001
 |$2,000
 |$2,000
 |-
 | style="text-align: center" | 2002–2004
 |$3,000
 |$3,500
 |-
 | style="text-align: center" | 2005
 |$4,000
 |$4,500
 |-
 |2006–2007
 |$4,000
 |$5,000
 |-
 |2008–2012
 |$5,000
 |$6,000
 |-
 |2013–2018<ref>{{Cite web|url=https://www.irs.gov/Retirement-Plans/Retirement-Plans-FAQs-regarding-IRAs-Contributions|title=IRA FAQs – Contributions|website=www.irs.gov|access-date=2016-09-02}}</ref>
 |$5,500
 |$6,500
 |-
|2019–2022<ref>{{Cite web|url=https://www.irs.gov/newsroom/401k-contribution-limit-increases-to-19000-for-2019-ira-limit-increases-to-6000|title=401(k) contribution limit increases to $19,000 for 2019; IRA limit increases to $6,000 |website=www.irs.gov|access-date=2018-11-10}}</ref><ref name="2021limits">{{cite news|url=https://www.irs.gov/newsroom/income-ranges-for-determining-ira-eligibility-change-for-2021|title=Income ranges for determining IRA eligibility change for 2021|publisher=[[Internal Revenue Service|IRS]]|date=October 26, 2020|access-date=February 21, 2021}}</ref>
 |$6,000
 |$7,000
|-
|2023<ref>{{Cite web|url=https://www.irs.gov/newsroom/401k-limit-increases-to-22500-for-2023-ira-limit-rises-to-6500|title=401(k) limit increases to $22,500 for 2023, IRA limit rises to $6,500|publisher=[[Internal Revenue Service|IRS]]|date=October 21, 2022|access-date=October 24, 2022}}</ref>
 |$6,500
 |$7,500
|-
|2024-2025<ref>{{Cite web|url=https://www.irs.gov/newsroom/401k-limit-increases-to-23000-for-2024-ira-limit-rises-to-7000|title=401(k) limit increases to $23,000 for 2024, IRA limit rises to $7,000|publisher=[[Internal Revenue Service|IRS]]|date=November 2, 2023|access-date=November 2, 2023}}</ref>
 |$7,000
 |$8,000
|}