I'm filing independently and I understand the phase out limit for Roth IRA contributions starts at $105k. Last year I made less than $105k. I already contributed $5k into my Roth IRA at the beginning of this year for the 2009 year.
This year my MAGI might be more than $105K. I don't know yet. When determining if I'm eligible for a full contribution (for 2009), do they use my 2008 MAGI or my 2009 MAGI? I originally assumed they used the 2009 MAGI, but I realized this would be weird since you don't know what your 2009 MAGI will be until after 2009 is over and after you prepare taxes for the year 2009.
Suggestions on what I should do? I don't want a penalty, but I won't know for sure what my 2009 MAGI is until after the year is over. Thanks.
This year my MAGI might be more than $105K. I don't know yet. When determining if I'm eligible for a full contribution (for 2009), do they use my 2008 MAGI or my 2009 MAGI? I originally assumed they used the 2009 MAGI, but I realized this would be weird since you don't know what your 2009 MAGI will be until after 2009 is over and after you prepare taxes for the year 2009.
Suggestions on what I should do? I don't want a penalty, but I won't know for sure what my 2009 MAGI is until after the year is over. Thanks.
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