Your Modified Adjusted Gross Income (MAGI) is an income tax term. It is your adjusted gross income (AGI) with certain deductions and exclusions added back. It's used to determine whether or not you’re allowed certain tax benefits like being able to deduct your Traditional IRA contribution or qualify to make a Roth IRA contribution. Need more information? Review IRS information on IRAs, IRS Publication 590-A, or contact your tax advisor. Or for a step-by-step guide to calculating your MAGI, use Publication 590-A, Worksheet 2-1.

Start with Your AGI: Find your Adjusted Gross Income (AGI). This can be found on IRS Form 1040, Page 2, Line 38.