Who sets IRA limits?


Quick Answer

IRA contribution limits are set by the IRS. For 2014 and 2015, the total maximum contribution for all of an individual's traditional and Roth IRAs is $5,500 if under age 50 and $6,500 if age 50 or older, according to the IRS.

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Full Answer

The maximum contribution cannot exceed the individual's total taxable compensation for the year, according to the IRS. Contributions cannot be made to a traditional IRA after an individual reaches the age of 70 1/2, but individuals can make contributions to Roth IRAs after that age as well as make rollover contributions to a traditional or Roth IRA regardless of age.

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