There’s still time left to contribute to a traditional IRA for the 2024 tax year.

Strategy: Make your contribution now. The sooner you start salting away money, the more you can earn on a tax-deferred basis. In fact, contributing earlier can save you tens of thousands of dollars over time. Generally, you can contribute to a traditional IRA if you’re working, within annual limits. The contribution limit for 2024 is $7,000. Plus, you can kick in an extra $1,000 if you are age 50 or older. The deadline for making contributions for a tax year is the due date for that year’s Form 1040, not counting any extension. Therefore, you have until April 15, 2025 to make contributions for the 2024 tax year. No extensions are allowed. While your contribution is potentially fully deductible, your deduction may be reduced or eliminated if you (or your spouse) are an active participant in an employer retirement plan and your modified adjusted gross income (MAGI) exceeds the applicable threshold. The phase-out ranges are adjusted for inflation. For single filers, in 2024 your Modified Adjusted Gross Income (MAGI) must be under $146,000. In 2025 your MAGI must be under $150,000 to make a full Roth IRA contribution. For joint filers, in 2024 your MAGI must be under $230,000. In 2025 your MAGI must be under $236,000 to make a full Roth IRA contribution.

Typically, you may wait until you’re close to the tax return due date to make your contribution, but getting a jump can save you money.

Tip: You can also make an IRA contribution for your 2025 tax year right now to boost savings even more.