UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev Thread | Next Thread
Author: ccurrie One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75379  
Subject: Can I have both a Roth and traditional IRA Date: 4/15/2002 12:50 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
The subject line says it all -- can I have both a roth and traditional IRA? All the discussion I've read seems to center on the question how, when, & whether one can roll over a traditional IRA into a ROTH IRA. However, I've seen no discussion about having both. Is this because it's simply not possible to have both? Any advice, help, pointers to references would be great. Thanks.
Print the post Back To Top
Author: bigcaat Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 34209 of 75379
Subject: Re: Can I have both a Roth and traditional IRA Date: 4/15/2002 1:28 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 1
Can I have both a Roth and traditional IRA

Yes. You can have both, but you will still only be allowed the $2000-$3000 maximum (depending upon the state in which you live -- see prior post on non-conforming states) for any given year. You would have to fund one, the other, or split the money between the two.

Caat

Print the post Back To Top
Author: rkmacdonald Big red star, 1000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 34214 of 75379
Subject: Re: Can I have both a Roth and traditional IRA Date: 4/15/2002 10:54 AM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 1
Author: ccurrie Date: 4/15/02 12:50 AM Number: 34208
The subject line says it all -- can I have both a roth and traditional IRA? All the discussion I've read seems to center on the question how, when, & whether one can roll over a traditional IRA into a ROTH IRA. However, I've seen no discussion about having both. Is this because it's simply not possible to have both?

You can have as many IRAs of all different flavors as you want. However, your total yearly contribution to all of your IRAs added together cannot exceed $3000. There are also income limits that determine whether or not you can contribute to a ROTH IRA or not.

Lots of people have ROTH IRAs that they can no longer contribute to, because their income has increased past the limit. The money in these ROTH IRAs just stays there until retirement (and hopefully grows), when it, and all gains may be withdrawn tax free.

Many people who can no longer contribute to a ROTH IRA have opened Traditional IRAs, to which they can always contribute. The only issue with a Traditional IRA is whether or not the contribution is deductable.

RK

Print the post Back To Top
Author: ddeitch Big funky green star, 20000 posts Top Favorite Fools Old School Fool Ticker Guide SC1 Red Winner of the 2010 Rule Breakers Challenge Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 34217 of 75379
Subject: Re: Can I have both a Roth and traditional IRA Date: 4/15/2002 12:11 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
If I have a Roth IRA and a 401K, can I still open a traditional IRA? How much money do I have to make before I can no longer contribute to the Roth?

Print the post Back To Top
Author: TMFPixy Big gold star, 5000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 34218 of 75379
Subject: Re: Can I have both a Roth and traditional IRA Date: 4/15/2002 1:03 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
Greetings, Ddeitch, and welcome. You asked:

If I have a Roth IRA and a 401K, can I still open a traditional IRA? How much money do I have to make before I can no longer contribute to the Roth?

Yes, you may contribute to a traditional IRA, but because of your participation in the 401k plan your contribuion might not be deductible. That depends on your filing status and your adjusted gross income. Also, if you intend to contribute to a Roth IRA at the same time you contribute to the traditional IRA, then be aware you may not exceed the maximum dollar amount for the year when using both of them combined. This year that amount is $3,000 for those under the age of 50, and you may split that between as many Roth and/or traditional IRAs as you wish. You just can't exceed the annual limit of $3,000 in total.

Your ability to contribute to a Roth depends again on your filing status and your adjusted gross income. To see those limits as well as those for making a deductible contribution to a traditional IRA, visit our IRA are at http://www.fool.com/money/allaboutiras/allaboutiras01.htm or read IRS Publication 590 (Individual Retirement Arrangements) available for download at http://www.irs.ustreas.gov/forms_pubs/pubs.html.

Regards..Pixy

Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post Back To Top
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev Thread | Next Thread
Advertisement