Dan and Dawn Are Married and File a Joint Return

question 92

Short Answer

Dan and Dawn are married and file a joint return.During the current year,Dan had a salary of $30,000 and Dawn had a salary of $36,000.Both Dan and Dawn are covered by an employer-sponsored pension plan.Their adjusted gross income for the year is $91,000.Determine the maximum IRA contribution and deduction amounts.
$\begin{array}{cl}\begin{array}{c}\text { Maximum } \\\underline {\text { Contribution }}\end{array} & \begin{array}{c}\text { Maximum } \\\underline {\text { Deduction }}\end{array} \\a. \$ 11,000 & \$ 11,000\\b.\$ 11,000 & \$ -0-\\c.\$ 11,000 & \$ 5,500 \\d.\$ 5,500 & \$ -0- \\e.\$ 8,000 & \$ 8,000\end{array}$

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