Individual retirement accounts (IRAs), established by the Employee Retirement Income Security Act of 1974 (PL 93-406) to promote retirement saving, were limited at first to workers (and spouses) who lacked employer pension coverage. Income tax was deferred on both contribution and investment earnings. Annual contributions were limited to the smaller of USD1,500 or 15 per cent of earnings. Eligibility was expanded to all workers and their spouses by the Economic Recovery Tax Act of 1981 (PL 97-34). Annual contributions were limited to the smaller of USD2,000 or 100 per cent earnings. The Tax...
Individual retirement accounts (IRAs), established by the Employee Retirement Income Security Act of 1974 (PL 93-406) to promote retirement saving, we...
