# What is my MAGI (modified AGI)?

Works out modified adjusted gross income (MAGI) from your AGI for a Roth IRA contribution (Pub 590-A Worksheet 2-1) or for the ACA premium tax credit (IRC 36B).

- Page: https://www.acalculator.org/finance/magi-calculator
- JSON spec: https://www.acalculator.org/finance/magi-calculator.json
- Version: e71a40bf2169

## Default answer

Example with the default inputs (MAGI for Roth IRA, Adjusted gross income (AGI) $90,000.00): With an AGI of $90,000.00, your MAGI for Roth IRA is $90,000.00.

## Inputs

| Key | Label | Description |
| --- | --- | --- |
| for | MAGI for | Which rule to use: a Roth IRA contribution, or the ACA marketplace and premium tax credit. |
| agi | Adjusted gross income (AGI) | Your AGI from Form 1040 line 11 (use the AGI calculator if you do not know it). |
| rothConversion | Roth conversion income | Taxable income from converting a traditional IRA to a Roth IRA, or rolling a retirement plan into a Roth IRA (subtracted). |
| iraDeduction | Traditional IRA deduction | Your deductible traditional IRA contribution (Schedule 1 line 20). |
| studentLoanInterest | Student loan interest deduction | The student loan interest deduction (Schedule 1 line 21). |
| foreignExclusion | Foreign earned income exclusion | Foreign earned income and housing excluded on Form 2555 (line 45). |
| foreignHousing | Foreign housing deduction | The foreign housing deduction (Form 2555 line 50). |
| savingsBondInterest | Excluded savings bond interest | Savings bond interest excluded for education on Form 8815 (line 14). |
| adoptionBenefits | Excluded adoption benefits | Employer-provided adoption benefits excluded on Form 8839 (line 30). |
| taxExemptInterest | Tax-exempt interest | Tax-exempt interest, such as from municipal bonds (Form 1040 line 2a). |
| nontaxableSocialSecurity | Untaxed Social Security | Social Security benefits not included in taxable income (Form 1040 line 6a minus line 6b). |

## Outputs

| Key | Label | Description |
| --- | --- | --- |
| magi | Modified AGI | AGI with the add-backs of the chosen rule (and, for a Roth IRA, conversion income taken out). |
| addBacks | Added back | The total added to AGI. |
| subtracted | Taken out | Roth conversion and rollover income taken out of AGI (Roth IRA only). |

## Method

Roth IRA: MAGI = AGI − Roth conversion and rollover income + traditional IRA deduction + student loan interest deduction + foreign earned income and housing exclusion + foreign housing deduction + excluded savings bond interest + excluded adoption benefits. ACA: MAGI = AGI + foreign earned income and housing exclusion + tax-exempt interest + untaxed Social Security.

## Assumptions

- An estimate, not tax advice. The Roth IRA rule follows Publication 590-A Worksheet 2-1; the ACA rule follows IRC 36B(d)(2)(B).
- For the ACA, household MAGI adds the MAGI of every family member who must file a return; add their amounts to AGI yourself.
- Other MAGI definitions (traditional IRA deduction, net investment income tax, Medicare IRMAA, student loan interest) differ and are not modelled.
- Refiguring AGI for other phaseouts (Worksheet 2-1 note) is not modelled.

## Worked examples

1. for = roth, agi = $150,000.00, rothConversion = $20,000.00, studentLoanInterest = $2,500.00 gives subtracted = $20,000.00, addBacks = $2,500.00, magi = $132,500.00. Source: IRS Publication 590-A, Worksheet 2-1, lines 1 to 10: 150,000 − 20,000 + 2,500.
2. for = roth, agi = $90,000.00, iraDeduction = $7,000.00, savingsBondInterest = $1,000.00, adoptionBenefits = $5,000.00 gives addBacks = $13,000.00, magi = $103,000.00. Source: IRS Publication 590-A, Worksheet 2-1, lines 4, 8, and 9.
3. for = aca, agi = $40,000.00, taxExemptInterest = $1,000.00, nontaxableSocialSecurity = $15,000.00 gives addBacks = $16,000.00, magi = $56,000.00. Source: IRC 36B(d)(2)(B) and the Form 8962 instructions (line 2a and 2b): AGI + tax-exempt interest + untaxed Social Security.
4. for = aca, agi = $60,000.00, foreignExclusion = $30,000.00 gives magi = $90,000.00. Source: IRC 36B(d)(2)(B)(i): income excluded under section 911 is added back.

## FAQ

### What is MAGI?

Modified adjusted gross income is your AGI (Form 1040 line 11) with certain deductions or exclusions added back. The IRS uses MAGI to decide who can contribute to a Roth IRA, who gets the premium tax credit, and several other limits. Each rule lists its own add-backs.

### How is MAGI for a Roth IRA calculated?

Publication 590-A Worksheet 2-1: AGI minus income from Roth conversions and rollovers into a Roth IRA, plus the traditional IRA deduction, the student loan interest deduction, the foreign earned income and housing exclusion, the foreign housing deduction, excluded savings bond interest (Form 8815), and excluded employer adoption benefits (Form 8839).

### How is MAGI for the ACA calculated?

For the premium tax credit and marketplace coverage, MAGI is AGI plus untaxed foreign earned income and housing, tax-exempt interest, and Social Security benefits that are not taxed (IRC 36B(d)(2)(B)). Household MAGI adds the MAGI of each family member who has to file a return.

### Is MAGI the same as AGI?

Often it is nearly the same, because most people have none of the add-backs. It differs when you have tax-exempt interest, untaxed Social Security, a deductible IRA contribution, student loan interest, or foreign income.

### Why does a Roth conversion not count for Roth MAGI?

Publication 590-A takes conversion and rollover income back out, so converting a traditional IRA does not by itself push you over the Roth contribution limit. It still counts for the ACA and most other rules.

### What does this calculator leave out?

Other MAGI definitions (the traditional IRA deduction limit, the net investment income tax, Medicare premiums), refiguring AGI for other phaseouts, and the Roth contribution limit itself. It is an estimate, not tax advice.

## Sources

- IRS, Publication 590-A, Contributions to Individual Retirement Arrangements, Worksheet 2-1: Modified Adjusted Gross Income for Roth IRA Purposes. https://www.irs.gov/publications/p590a
- 26 U.S.C. 36B(d)(2)(B), modified adjusted gross income for the premium tax credit. https://www.law.cornell.edu/uscode/text/26/36B
- IRS, Instructions for Form 8962, Premium Tax Credit (lines 2a and 2b). https://www.irs.gov/instructions/i8962
- HealthCare.gov, Modified adjusted gross income (MAGI). https://www.healthcare.gov/glossary/modified-adjusted-gross-income-magi/