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On March 31, 2019, Candia reaches age 70%. What is the maximum contribution amount that she can make to her traditional IRA if she has earned income of approximately $20,000 in both 2018 and 2019 tax years? O A. 2018: $O; 2019: $0 B. 2018: $4,000; 2019: $0 C. 2018: $5,500; 2019: $0 O D. 2018: $6,500; 2019: $7,000 O

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Answer #1

For year 2018

Maximum limit for contribution to IRAs for people 50 years and older is $5,500 and an additional catch up contribution of $1,000 total amounting to $6,500 for year 2018.

For year 2019

Maximum limit for contribution to IRAs for people 50 years and older is $6,000 and an additional catch up contribution of $1,000 total amounting to $7,000 for year 2019.

So Option D is Correct.

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