Can I still have a traditional IRA if I contribute to my 401(k) plan at work?

Yes. Anyone with earned income can open and contribute to a traditional IRA. The contribution limit is $7,000 for 2024 ($6,500 for 2022), plus an additional "catch-up" contribution of $1,000 if you're 50 or older in 2024 (unchanged from 2023). However, you may not be able to deduct your IRA contributions if you're covered by a 401(k) plan at work.

Whether or not you can deduct your IRA contributions depends on your filing status and annual income (adjusted gross income, or AGI). Specifically, for tax year 2024:

If your filing status is:	Your IRA deduction is reduced if your AGI is between:	Your deduction is eliminated if your AGI is:
Single or head of household	$77,000-$87,000	$87,000 or more
Married filing jointly or qualifying widow(er)	$123,000-$143,000	$143,000 or more
Married filing separately	$0-$10,000	$10,000 or more

Special rules apply if your spouse is covered by a plan at work, but you are not. You may also qualify for a partial tax credit for amounts contributed to your traditional IRA or your 401(k) plan.