• One of the major provisions of the Economic Recovery Tax Act of 1981 allowed for non-working spouses to have an IRA with an annual contribution of up to $250 from the working spouse. This provision has adapted, allowing non-working spouses to benefit from long-term retirement savings in IRAs within certain limits.
  
  

Contribution Limits

• As of 2010, IRS regulations, a non-working spouse may contribute as much as a working spouse. Those under the age of 50 may contribute up to $5,000 annually. This means that a household with one income can contribute $10,000 between both spouse's IRAs as long as the household has at least $10,000 income. A non-working spouse over the age of 50 can contribute an extra $1,000 annually regardless of the age of her spouse.
  
  

Traditional IRA Contribution Limits

• There are income limitations to that must be met for a household to qualify for pre-tax traditional IRA contributions if the working spouse is covered by an employer-sponsored retirement plan. The couple must file taxes jointly. To obtain a full deduction on the spousal IRA contribution, the annual adjusted gross income must be less than $89,000. The spouse may still contribute, but receive only a partial deduction if the income is between $89,000 and $109,000 annually. If the couple files taxes separately, income phaseouts are under $10,000.
  
  

Roth IRA Contribution Limits

• Just as there are limits with traditional IRAs, there are income limits that determine whether a married couple can contribute to a Roth. If the couple meets the limits, then both the working and non-working spouse may make a full or partial contribution. As with the traditional IRA, the couple must file jointly with an income less than $166,000 to make a full contribution. Income between $166,000 and $176,000 are allowed a partial contribution. If the couple files separately, they must have less than $10,000 income.