Retirement Savings Contributions Credit (Saver’s Credit)

Forum|Forum|1 year ago
February 16, 2025
2 replies
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hi ...

can i claim the saver's tax credit if i have no W2 income ?

i'm retired and my income is from social security , savings, interest income, etc ...

ie, i have no earned income ...

but my AGI is within the required limits to claim the credit ...

so if i contribute to a traditional IRA, can i claim the credit ?

the IRS website didn't say anything about having to have "earned income"

to claim the credit ...

thanks so much

Not A Product Question

AnnetteB6

Having earned income is not part of the eligibility for claiming the Saver's Credit.

You can always use TurboTax to determine with certainty whether you qualify for the credit by entering a tentative amount for a contribution to your Traditional IRA and then go through the section of the return for the Saver's Credit to make sure you qualify for it.

Take a look at the following TurboTax article to learn more:

What Is the Savers Credit?

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runnerdudeAuthor

thanks ... i'm pretty sure i meet all the requirements for claiming the saver's tax credit ...

i've never claimed it however because i thought you had to have "earned income"

like you do for the earned income tax credit ...

as i understand it now, the EITC requires "earned income" to claim it whereas

the saver's credit just requires that you have a low AGI and a few other things ...

thanks so much

dmertz

Employee

With no earned income (by either you or, if filing jointly, your spouse), you are not permitted to make a retirement contribution that would qualify you for any amount of this credit.

runnerdudeAuthor

thanks ... but your answer is different than what annette said ... turbotax says earned income is not a requirement to claim this credit ? i'm not sure who to believe ... thanks