Modified adjusted gross income, or MAGI, might sound like just more tax jargon, but knowing how to calculate your MAGI is key to determining your eligibility for several valuable tax benefits ...

If your MAGI is $79,000 or less, you can deduct that full $7,000 from your taxable income on your 2025 tax return (filed in 2026). The table below shows how deductions change based on filing ...

Modified adjusted gross income (MAGI) is an important figure for understanding your taxable income. MAGI adjusts the adjusted gross income (AGI) for certain tax deductions and credits. You’ll ...

Traditional 401 (k) plans are very attractive for individuals looking to reduce their AGI or MAGI. The potential of tax deferral and reduction of current taxable income offer ways to soften tax ...

Example of calculating MAGI As an example, let’s say that you’re single and want to determine if you can contribute to a Roth IRA in 2023. According to the IRS guidelines, your MAGI must be ...

Strategically managing your MAGI can potentially help you save on taxes and optimize your finances. So, as you review your year-end tax situation, here are a few important aspects to consider ...

However, the one constant of MAGI is that it always starts with your adjusted gross income. (That is the amount shown on Line 11 of your Form 1040 or Form 1040-NR.) ...