Last IRA deposit - Can my SIL deposit money into her IRA for this year? (55, spouse)

[nicet4]

She celebrated her 70th birthday last Christmas and will turn 70 1/2 this coming June.

If no laws are changed can she deposit money into her IRA for this year or is it over?

Seems to be a foggy area.

[mathjak107]

is she working ?

[Moonwalkr]

Can't contribute to traditional IRA the year you turn 70 1/2, that's when RMDs start and the gov't want their money. As mathjak said if she/spouse is working she can put in Roth.

[reed303]

Originally Posted by nicet4

She celebrated her 70th birthday last Christmas and will turn 70 1/2 this coming June.

If no laws are changed can she deposit money into her IRA for this year or is it over?

Seems to be a foggy area.

If it is a Traditional IRA, there is no fog.
See
https://www.irs.gov/publications/p59...link1000230429
where it says: "Contributions can be made to your traditional IRA for each year that you receive compensation and haven’t reached age 70½" and

"Age 70½ rule.

Contributions can’t be made to your traditional IRA for the year in which you reach age 70½ or for any later year. "

Also, she should not wait til April 1 2020 for first RMD, otherwise will pay tax on 2 RMDs for same tax year. (ie Apr 1 2020 AND Dec 31 2020).