One of the biggest mistakes people make with a Traditional IRA is missing the contribution deadline—many think it’s December 31st, but you actually have until Tax Day (typically April 15) of the following year, so plan accordingly. Another common error is contributing more than the annual limit ($7,000 for 2025 or $8,000 if you’re 50+), which can trigger a 6% penalty—tracking contributions and using brokerage tools helps avoid this. Many retirees also forget to take Required Minimum Distributions (RMDs) starting at age 73, risking a 25% penalty; setting up automatic withdrawals can prevent that. Some mistakenly assume all contributions are tax-deductible, but if you or your spouse is covered by a workplace plan, income limits apply—always check IRS rules before filing. Lastly, withdrawing early without understanding the penalties can cost you a 10% fee plus taxes, so know the exceptions or wait until age 59½ to avoid unnecessary losses.