Tallyworks

Search tools and guides

Saving & investing

Traditional IRA Deduction Calculator (2026)

Anyone with earned income can contribute to a traditional IRA, but the deduction can shrink if you or your spouse is covered by a workplace plan. See how much of your 2026 contribution you can deduct.

Filing status

$4,500Deductible 2026 traditional IRA contribution

Contribution limit$7,500
Phase-out range that applies$81,000 – $91,000
Non-deductible part you can still contribute$3,000

How this calculator works

If neither you nor your spouse is covered by a workplace retirement plan, the full contribution is deductible at any income.

If you are covered, the deduction phases out between $81,000 and $91,000 of modified AGI for single filers, and $129,000 and $149,000 for joint filers.

If you aren’t covered but your spouse is, your deduction phases out between $242,000 and $252,000.

Any part you can’t deduct can still be contributed as a non-deductible contribution, tracked on Form 8606.

Worked example

Single, covered at work, $85,000 of modified AGI

  1. $85,000 is $6,000 below the $91,000 limit.
  2. $7,500 × 6,000 ÷ 10,000 = $4,500 deductible.
  3. The other $3,000 can be contributed but not deducted.

Questions people ask

What counts as being covered by a workplace plan?

Being eligible for and participating in a 401(k), 403(b), pension or similar plan during the year. Box 13 of your W-2 shows it.

Is a non-deductible contribution worth it?

Growth is still tax-deferred, and it can be converted to a Roth. Keep records so you aren’t taxed twice.

What is the contribution limit?

$7,500 for 2026, plus $1,100 at age 50 or older, across all your traditional and Roth IRAs combined.

Does it reduce my state tax too?

In most states that have an income tax, yes, because they start from federal adjusted gross income.

Sources

Last reviewed October 2, 2026