 TITLE: What Is a Roth IRA, and Is It Right for Me? CONTENT: Contribution and Income Limits for a Roth IRA\n---------------------------------------------\nWhile there are many benefits of a Roth IRA, you're limited in the amount you can save in this type of account—and particularly high earners are locked out of contributing altogether. Here are the contribution limits for 2021:\n*   You can put up to $6,000 ($7,000 if you're 50 or older) into a Roth IRA. That's substantially less than the $19,500 maximum annual contribution allowed in a 401(k) workplace retirement account.\n*   The amount you contribute to a Roth IRA in a single year cannot be more than the amount of earned income (wages, tips and other compensation) you report on your tax return for that year.\nThere are also limitations on who can participate in a Roth IRA, and they're based on your modified adjusted gross income (MAGI). For most people, this is very close to the adjusted gross income reported on federal income tax returns. These are the Roth IRA contribution limits for 2021 by tax filing status:\n*   **Single, head of household or married filing separately (and living separately from your spouse):** You can contribute the maximum annual amount to a Roth IRA if you earn $125,000 or less; a reduced amount if you earn between $125,000 and $140,000; and none if you earn more than $140,000 per year.\n*   **Married filing separately (and living with your spouse at any point in the year):** You can contribute a reduced amount to a Roth IRA if you earn less than $10,000, and none if you earn more than $10,000 per year.\n*   **Married filing jointly or qualifying widow(er):** You can contribute the maximum annual amount to a Roth IRA if you earn $198,000 or less; a reduced amount if you earn between $198,000 and $208,000; and none if you earn more than $208,000 per year. END