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According to IRS Publication 17, Your Income Tax (available on the irs.gov web site), p 121, your nonworking spouse is eligible to contribute up to $5000/yr or $6000 if over age 50, up to the maximum amount of your earned income in any tax year to her spousal IRA.
Your participation in a 401K plan does not limit her eligibility. It merely reduces the income limit above which the contribution is no longer tax deductible.
So you have a non-deductible contribution to your IRA. You need to keep track of your non-deductible basis by filing Form 8606 with your income tax each year, but otherwise, this is a normal traditional IRA account. You may mix deductible and non-deductible contributions in the same account and you can even rollover other qualified accounts or 401Ks into the same account.
You may transfer your IRA account tax-free to any other custodian you choose. Usually that would be a discount broker or a mutual fund company, but you have your choice of which one you use. If you do a direct transfer, there are no tax implications. To do that, contact the firm you want to receive the account and ask their advice. Usually there are a few forms to fill out and they do the rest.
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