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Wilson and Joan, Both in Their 30s, File a Joint

question 42

Essay

Wilson and Joan, both in their 30s, file a joint income tax return for 2016. Wilson's wages are $15,000 and Joan's wages are $23,000 for the year. Their total adjusted gross income is $38,000, and Joan is covered by a qualified pension plan at work but Wilson is not.
a.​
What is the maximum amount that Wilson and Joan may each deduct for contributions to their individual retirement accounts?
b.​

If Joan's wages are $88,000 for 2016, instead of $23,000, and their adjusted gross income is $103,000, what is the maximum amount that Wilson and Joan may each deduct for contributions to their individual retirement accounts?


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Suicide

The act of intentionally causing one's own death.

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A state characterized by feelings of severe despondency and dejection.

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Unemployment

A situation where individuals who are actively looking for employment are unable to find work, often used as a measure of the health of the economy.

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