Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Calculating MAGI
Old 08-25-2015, 10:42 PM   #1
Thinks s/he gets paid by the post
nun's Avatar
 
Join Date: Feb 2006
Posts: 4,836
Calculating MAGI

My income on line 22 of next year's 1040 looks as if it will be close to 133% of the FPL. Can someone confirm that if I make a Traditional IRA contribution it will be deducted from the value on line 22 when calculating my MAGI.
__________________

__________________
“So we beat on, boats against the current, borne back ceaselessly into the past.”

Current AA: 65% Equity Funds / 20% Bonds / 7% Stable Value /3% Cash / 5% TIAA Traditional
Retired Mar 2014 at age 52, target WR: 0.0%,
Income from pension and rent
nun is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 08-25-2015, 10:53 PM   #2
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 16,446
Yes... assuming that you qualify for deductible IRA contributions (line 32).

See IRA Deduction Limits and http://laborcenter.berkeley.edu/pdf/..._summary13.pdf
__________________

__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.
pb4uski is online now   Reply With Quote
Old 08-25-2015, 11:37 PM   #3
Thinks s/he gets paid by the post
nun's Avatar
 
Join Date: Feb 2006
Posts: 4,836
Quote:
Originally Posted by pb4uski View Post
Yes... assuming that you qualify for deductible IRA contributions (line 32).

See IRA Deduction Limits and http://laborcenter.berkeley.edu/pdf/..._summary13.pdf
I've got around $5k from some self-employment income so I can put that in a TIRA and I'll be well below the 133% FPL. I wanted to make sure TIRAs counted before I went to the trouble of opening up an Individual 401k.
__________________
“So we beat on, boats against the current, borne back ceaselessly into the past.”

Current AA: 65% Equity Funds / 20% Bonds / 7% Stable Value /3% Cash / 5% TIAA Traditional
Retired Mar 2014 at age 52, target WR: 0.0%,
Income from pension and rent
nun is offline   Reply With Quote
Old 08-30-2015, 09:29 AM   #4
Thinks s/he gets paid by the post
 
Join Date: Feb 2014
Posts: 1,050
The technical amount is 133%, however there is a 5% disregard making it effectively 138%. In my state they determine Medicaid based on current monthly income, not yearly income. Also once the determination is made they do not redetermine again for 12 months, so fluctuations are not considered. tIRAs can lower your MAGI.
__________________
jim584672 is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Calculating for MAGI modhatter Health and Early Retirement 6 12-20-2013 12:32 PM
Minimizing MAGI for PPACA FinanceGeek Health and Early Retirement 133 10-08-2013 05:31 AM
ACA, MAGI and Roth conversions JoeDreaming FIRE and Money 26 04-01-2013 04:46 PM
SS benefits and MAGI afntrn56 FIRE and Money 2 11-21-2010 08:32 AM
Reducing income (MAGI) during early retirement indexfundfan FIRE and Money 4 03-28-2010 08:48 PM

 

 
All times are GMT -6. The time now is 11:37 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.