I just contributed $4000 to my 2006 Roth IRA. I'm 46 years old and my Total gross income was $120,000 (taxable gross $105,000). Was I allowed to contribute this much? If not, how do I correct?
Thanks,
Jeff

Jeff:

Are you married or single?

If you are married and filing jointly with your spouse, then you are fine!

If you are single, and your Adjusted Gross Income is $120,000, you make too much money to contribute to a Roth IRA. You need to withdraw the money ASAP! Be sure to tell the IRA custodian WHY you are making the withdrawal so he reports it correctly, or it will cause problems with the IRS down the road!