Individual Account
Self-Directed Traditional IRA
Pretax contributions. Tax-deferred growth. Alternative assets in a familiar wrapper.
A familiar IRA, with more of what it can hold
Pretax savings. Tax-deferred growth. Alternative assets too.
A Traditional IRA lets you save for retirement on a pretax basis, with contributions that may be tax-deductible and growth that stays untaxed until withdrawal. With a self-directed Traditional IRA at Accuplan, you can hold the same conventional investments plus real estate, private equity, precious metals and more. Setup is simple. Distributions are taxed as ordinary income in retirement, when many savers are in a lower bracket.
2026 at a glance
The numbers you'll come back to.
$7,500
Contribution limit, under 50
+$1,100
Catch-up at age 50
59½
Penalty-free withdrawal age
Age 73
RMDs begin (75 from 2033)
10%
Early withdrawal penalty
Apr 15, 2027
2026 contribution deadline
Limits & Eligibility
2026 contribution, income and deduction rules.
Indexed limits update each year. Roth eligibility and Traditional deductibility both depend on your Modified Adjusted Gross Income (MAGI). Numbers below reflect the 2026 tax year.
A few terms we'll use
- Pre-tax
- Money contributed before income tax is taken out. You owe income tax later, when you withdraw in retirement.
- Tax-deferred
- Investment growth that is not taxed each year. Tax is paid only when money comes out of the account.
- MAGI
- Modified Adjusted Gross Income. Your AGI with a few IRS-specified deductions added back. Determines Roth eligibility and Traditional deductibility.
- Phase-out
- The income range over which a tax benefit is gradually reduced. Below the floor you get the full benefit, above the ceiling you get none.
- Catch-up
- Extra contribution room for savers age 50 and over so they can save more as retirement gets closer.
- RMD
- Required Minimum Distribution. The amount the IRS requires you to withdraw from a Traditional IRA each year starting at age 73.
- Backdoor Roth
- A strategy that lets high earners fund a Roth IRA indirectly by contributing to a Traditional IRA and converting it to a Roth.
- SEPP
- Substantially Equal Periodic Payments. A schedule of equal IRA withdrawals that lets you tap funds before 59½ without the 10% penalty.
IRA contribution limits
How much you can put into all of your IRAs combined, Traditional and Roth, in 2026.
$7,500
Under age 50
Standard limit. Applies across all your IRAs combined, not per account.
$8,600
Age 50 and older
Includes a $1,100 catch-up. You must have earned income at least equal to what you contribute.
Contributions for the 2026 tax year may be made up until the federal tax filing deadline, generally April 15, 2027.
Roth IRA income limits
When MAGI is below the floor, you can contribute fully to a Roth. Above the ceiling, direct Roth contributions are not allowed.
Single / Head of Household
Full under $153,000. Partial from $153,000–$167,999. None at $168,000 or more.
Married Filing Jointly
Full under $242,000. Partial from $242,000–$251,999. None at $252,000 or more.
Married Filing Separately
Partial from $0–$9,999. None at $10,000 or more.
If your income exceeds these limits, a backdoor Roth IRA strategy may still let you fund a Roth account. Ask a specialist whether the math works for your situation.
Traditional IRA deduction rules
Anyone with earned income can contribute. How much is tax-deductible depends on workplace retirement plan coverage and MAGI.
Single, covered at work
Full deduction if MAGI ≤ $81,000. Phase-out ends at $91,000.
MFJ, you are covered at work
Full deduction if MAGI ≤ $129,000. Phase-out ends at $149,000.
MFJ, only spouse is covered
Full deduction if MAGI ≤ $242,000. Phase-out ends at $252,000.
If neither spouse is covered by a workplace retirement plan, contributions are generally fully deductible regardless of income.
Withdrawals
Withdrawals and Early Distribution Rules.
You may begin taking penalty-free withdrawals from a Traditional IRA once you reach age 59½. Withdrawals before that age are generally subject to ordinary income tax, plus a 10% early distribution penalty unless an exception applies. Accuplan helps investors plan distributions strategically to reduce taxes and avoid unnecessary penalties.
Early Distribution Penalty Exceptions
The IRS provides several exceptions to the 10% early withdrawal penalty.
- Death of the account holder.
- Permanent disability.
- Qualified higher-education expenses.
- Unreimbursed medical expenses exceeding 7.5% of AGI.
- Health insurance premiums during certain periods of unemployment.
- Qualified first-time home purchase (lifetime maximum of $10,000).
- Certain substantially equal periodic payments (SEPPs).
Even when the penalty is waived, ordinary income taxes may still apply to taxable distributions.
Once you reach age 59½, you may withdraw funds without penalty. All deductible contributions and earnings (interest, dividends, and capital gains) are taxed as ordinary income when withdrawn.
RMDs
Required Minimum Distributions (RMDs).
Under the SECURE 2.0 Act, the required beginning age for RMDs is 73 for anyone reaching age 72 in 2023 through 2032, and rises to 75 starting in 2033. Once you hit your applicable age, the IRS requires you to take an RMD from your traditional IRA each year. Accuplan helps administer these distributions so you stay compliant and avoid penalties.
The deadline for taking RMDs is December 31 each year. You can postpone your first distribution until April 1 of the year after reaching your RMD age, but if you delay, you will take two RMDs in the same calendar year. SECURE 2.0 also reduced the penalty for a missed RMD from 50% to 25% of the undistributed amount, dropping to 10% if corrected within the two-year correction window.
Why Accuplan
Why Choose Accuplan for Your Traditional IRA?
Accuplan Benefits Services has been a trusted name in self-directed IRA administration for decades. Since 1985, we have grown from an estate planning business into one of the leading providers of self-directed traditional IRAs. Our experience, particularly through our sister company and IRA custodian, American Estate and Trust, has equipped us to support thousands of investors in pursuing their financial goals.
Here is what sets us apart.
- Experienced and dedicated experts. Our team brings years of industry experience and a genuine focus on self-directed IRAs. We help keep your investments compliant with IRS rules.
- Intuitive and efficient platform. Whether you are an individual investor or a business, Accuplan’s platform helps you self-direct and diversify your retirement portfolio with confidence.
- Secure and trusted services. With over $2 billion in assets under administration, Accuplan is committed to reliable service. Our approach combines innovation and experience to offer a self-directed IRA solution you can trust.
Accuplan lets you do more with a traditional IRA. The IRS permits a much broader range of asset types in a self-directed IRA, so you can hold tangible assets like real estate or gold alongside paper assets like private equity or loans. You tailor the strategy. We administer the account.
Interested in tax-free growth instead? Learn about a Roth IRA.
Frequently asked
Traditional IRA FAQs.
Who is eligible for a traditional IRA?
Anyone with taxable earned income during the tax year can set up and contribute to a traditional IRA. The SECURE Act removed the prior age 70½ contribution cutoff, so there is no upper age limit on contributions.
If both spouses have earned a salary or wage over the year, each can open their own IRA. If filing jointly, only one spouse needs earned income to contribute on the other spouse’s behalf.
Can I contribute to a 401(k) and a traditional IRA?
The short answer is yes. You may put money into a 401(k) and a traditional IRA if you have earned income. All contribution limits remain the same as mentioned above, plus you’ll still receive all the tax-deferred savings. What may change is the tax breaks you’d receive on your contributions. These tax breaks are based on your income, and depending on your MAGI (modified adjusted gross income), they may be little tax breaks or gone altogether.
Your MAGI determines many different benefits that you may receive. Still, for retirement accounts, it determines if you are eligible to contribute to a Roth and if you can deduct your traditional IRA contributions.
You’ll first calculate your AGI to calculate your MAGI. Then you’ll add any deductions back specified by the IRS. MAGI is always the same or greater than your AGI.
Keep reading
More on Traditional IRAs and self-directed investing.
Borrowing and Lending from a Self-Directed IRA
Read article→
How and When a Hardship Withdrawal Is Allowed in an IRA or 401(k)
Read article→
Can I Use My IRA to Start a Business?
Read article→
Using a Portion of a Self-Directed IRA to Purchase an Investment Property
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Can You Invest in a Private Company With an IRA?
Read article→