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IRS rules let Americans keep contributing to IRAs while abroad
For 2026, the IRA contribution limit is $7,500, or $8,600 for those over 50, and Roth eligibility depends on MAGI thresholds even for expats.
HousingWire notes that Americans taxed based on citizenship, not where they live, can generally keep their traditional or Roth IRA active after moving abroad, including when they relocate for work, such as an example expat moving to the U.K.
The outlet says expats need to confirm their broker can maintain IRA accounts for non-residents, and that the 2026 contribution limit is $7,500, or $8,600 for people over 50.
Yahoo Finance explains how traditional and Roth IRAs differ for tax purposes: traditional IRAs are funded with pre-tax dollars, offer potential tax deductions based on MAGI if a filer or spouse is covered by a workplace plan, and grow tax-deferred, while Roth IRAs use after-tax contributions, grow tax-free, and have tax-free withdrawals in retirement.
The story also says Roth IRA contributions have income limits, with eligibility requiring MAGI below $153,000 for single filers or $242,000 for married couples filing jointly, and that these rules continue to apply after moving abroad.
The article adds that tax exclusions and credits may help prevent double taxation, but the details depend on the expat situation.