MAGI Calculator
Calculate Modified Adjusted Gross Income for tax benefits, IRA eligibility, and government programs
Calculate Modified Adjusted Gross Income (MAGI)
Different tax benefits use different MAGI calculations
Your AGI from line 11 of Form 1040 (2023) or line 8b (2022)
Add Back These Deductions:
Income earned while working abroad (Form 2555)
Housing costs while living abroad
Interest from municipal bonds and other tax-free sources
Non-taxable portion of Social Security benefits
Student loan interest you deducted
Interest from U.S. savings bonds used for education
Employer-sponsored adoption assistance
Traditional IRA contribution deduction
Income excluded from Puerto Rico sources
Income excluded from American Samoa sources
Passive activity income or losses
Half of self-employment tax deduction
Other income adjustments to be added back
MAGI Calculation Results
MAGI Analysis
Example: MAGI for Roth IRA Eligibility
Income Information
AGI: $130,000
Student Loan Interest Deduction: $2,500
Traditional IRA Deduction: $6,000
Foreign Earned Income: $0
MAGI Calculation
AGI: $130,000
+ Student Loan Interest: $2,500
+ Traditional IRA Deduction: $6,000
MAGI = $138,500
Result: Within Roth IRA phase-out range ($138,000-$153,000 for single filers)
2024 MAGI Income Limits
Roth IRA (Single)
Phase-out: $138,000 - $153,000
Roth IRA (Married)
Phase-out: $218,000 - $228,000
Traditional IRA (Single)
Phase-out: $77,000 - $87,000
Child Tax Credit
Phase-out starts: $200,000 (single)
ACA Premium Credits
100%-400% of Federal Poverty Level
Common MAGI Add-Backs
Foreign earned income exclusion
Student loan interest deduction
Traditional IRA deduction
Tax-free interest income
Non-taxable Social Security benefits
MAGI Tips
MAGI calculations vary by tax benefit - select the right purpose
Most people's MAGI equals their AGI if no foreign income
Lower MAGI = better eligibility for tax benefits
You won't find MAGI on your tax return - it's calculated
Strategic planning can help lower your MAGI
Understanding Modified Adjusted Gross Income (MAGI)
What is MAGI?
Modified Adjusted Gross Income (MAGI) is your AGI with certain deductions added back. It's used to determine eligibility for various tax benefits, retirement account contributions, and government programs. The specific adjustments vary depending on the purpose.
Why Calculate MAGI?
- •Determine Roth IRA contribution eligibility
- •Qualify for traditional IRA tax deductions
- •Apply for healthcare premium tax credits
- •Claim education and child tax credits
MAGI vs AGI
AGI (Adjusted Gross Income):
Your gross income minus "above-the-line" deductions like student loan interest, IRA contributions, and self-employment taxes.
MAGI (Modified AGI):
Your AGI with certain deductions added back, depending on the specific tax benefit or program you're applying for.
Key Points
• MAGI calculations differ by tax benefit
• Most people's MAGI equals their AGI
• Lower MAGI = better eligibility for benefits
• MAGI isn't reported on tax returns - it's calculated