Hello,
This should be simple, but I really wanted a double check so I don't mess anything up :).
DH and I FIRED at the end of March 2019. *****happy dance, happy dance!!!****
Some background
DH had most of his income going into HSA and 401k. So for Q1 2019 his take home pay was ~$1,100.
My company caps my contributions so I brought home ~$11,520 for the same period.
Neither of us managed to max anything out before ending employment.
For 2019 we want to keep our MAGI in the $25,000 range.
So this income gets us to $12,620 as a family.
I want to give us some additional buffer in our MAGI, so to do this could I put money into a traditional IRA? The contribution limit in 2019 is $6000 per person (we are both under 40) and this would reduce our MAGI correct? Also, I can put in $6000 for me, but how much can DH put in? Is his max $1100? Or is there a way for my income to cover the gap? We always file married/jointly.
Also- we could wait until early 2020 to do this contribution to see where all our dividends etc play out correct for MAGI correct?
Thank you!!
Loren