when you have both a traditional ira and an employer sponsored retirement plan the irs may limit the amount of your traditional ira contributions that you can deduct from your taxes 
if a taxpayer participates in an employer sponsored program such as a 401 k or pension program and files as a single person they would only be eligible to take the full deduction on a traditional ira if their modified adjusted gross income magi was 73 000 or less for 2023 that amount increases to 77 000 for 2024 married taxpayers filing a joint return are subject to limits of 116 000 or less for 2023 and 123 000 for the 2024 tax year with magis of 83 000 for singles in 2023 87 000 for 2024 and 136 000 for married couples in 2023 143 000 for 2024 the irs allows no deductions the deduction is phased out should the filer s income fall between the minimum and maximum levels 9ira contributions must also be made by the tax filing deadline for most taxpayers this is on or around april 15 of each year 10income tax is ultimately paid on ira money at the time of withdrawal subject to one s tax bracket during retirement therefore traditional iras are more often recommended for investors who expect to be in lower tax brackets at retirement than they are currently in traditional ira distributions