Deductible IRA Contribution
In general, you can deduct up to $3,000 in contributions made for 2002 to a traditional IRA. The contribution must be made before April 15, 2003. If you are married filing a joint return, you can also deduct up to $3,000 in contributions made for 2002 to a traditional IRA for your spouse.

If you are age 50 years or older, your contribution limit is $3,500.

Your maximum deduction may be lower if any of the following are true:

• You (or your spouse, if married filing jointly) were covered by a retirement plan such as a 401(k) plan and your income was over $34,000 ($54,000 if married filing a joint return or a qualifying widow(er); any amount if married filing separately and you lived with your spouse at any time in 2002).

• Your earned income was less than your contribution limit.