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Features	Traditional IRA	Roth IRA	Coverdell Educational Savings Account
Who Can Contribute?	Any individual under 70.5 is qualified to contribute if they or their spouse has earned income. Income limits determine whether the contributions are tax deductible. Anyone can contribute who has received a distribution from a qualified retirement plan and decides to roll over the proceeds of the plan into an IRA.	Individuals who meet the adjusted gross income criteria in a tax year can make full contributions. Married, filing jointly, $160,000 or less Single, $110,000 or less Some people with a higher modified adjusted gross income (MAGI) may be able to make smaller contributions.	Anyone can open an Coverdell ESA for a child under the age of 18 if they meet the following adjusted gross income criteria in a tax year: Married, filing jointly, $190,000 or less Single, $95,000 or less Some people with a higher modified adjusted gross income (MAGI) may be able to make smaller contributions.
Tax Treatment	Contributions are fully deductible from current taxes for: Individuals not covered under an employer retirement plan (even if a spouse is covered). Single individuals active in employer retirement plans with MAGI of less than: $45,000 (2004), $50,000 (2005-2010 Married couples with neither spouse active in employer retirement plan Married individuals active in employer retirement plans with joint tax returns showing MAGI of less than: $45,000 (2004), $70,000 (2005), $75,000 (2006), $80,000 (2007-2010) Married individuals not active in employer retirement plans with spouses who are, as long as MAGI is $150,000 or less	All contributions are non-deductible. No deductions are allowed from current taxes.	All contributions are non-deductible. No deductions are allowed from current taxes.
Annual Contributions	Lesser of 100% of compensation or $4,000. Non working spouse may also contribute up to $4,000. Total contributions to combination of Traditional and Roth IRAs cannot exceed this amount in one year.	Lesser of 100% of compensation or $4,000. Non working spouse may also contribute up to $4,000. Total contributions to combination of Traditional and Roth IRAs cannot exceed this amount in one year.	The total aggregate contributions into one or more Coverdell ESA on behalf of a child is $2,000* for a taxable year. This can be made over the above the maximum annual contributions to the Traditional and Roth IRAs. *Limits may be raised.
Tax Treatment of Distributions	All non-deductible contributions are received tax-free. All earnings and deductible contributions are taxed at ordinary income tax rate when withdrawn	Contributions are not taxable up withdrawal. Earnings are not taxable if the following two stipulations are met: Distribution occurs after the fifth tax year since first contribution was made to the Roth IRA and one of the following distributions is made: After age 59.5 Due to death Due to disability First-time home buyer within the past 2 years	Distributions are not taxable if the distribution is used in the tax year to pay various post-secondary higher education expenses.
Application of 10% Penalty Tax	A 10% premature distribution penalty apples unless the distribution is: Made after 59.5 Due to death or disability Part of substantially equal periodic payments To pay certain medical expenses To pay medical insurance premiums while unemployed First-time home buyer within the past 2 years To pay higher education expenses.	A 10% premature distribution penalty apples unless the distribution is: Made after 59.5 Due to death or disability Part of substantially equal periodic payments To pay certain medical expenses To pay medical insurance premiums while unemployed First-time home buyer within the past 2 years To pay higher education expenses.	Distributions that exceed educational expenses for the year or are made for reasons other than to pay qualified higher education expenses must be included in the child's gross income.
Deadline for Contributions	The tax-filing deadline (not including extensions) is April 15.	The tax-filing deadline (not including extensions) is April 15.	The tax-filing deadline (not including extensions) is April 15.

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