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new poster here and i have what i think is a simple question. i am currently helping a friend with investments (someone who actually knows less than me!)who stated that his accountant said he could not invest in a traditional ira because he is fully invested in his 403b and earns approx. 140,000/yr. i thought that anyone could invest in a traditional ira irrespective of income (just perhaps not tax deductible) thanks in advance for clarification of this issue

heff
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Greetings, Heffe44, and welcome. You wrote:

<<new poster here and i have what i think is a simple question. i am currently helping a friend with investments (someone who actually knows less than me!)who stated that his accountant said he could not invest in a traditional ira because he is fully invested in his 403b and earns approx. 140,000/yr. i thought that anyone could invest in a traditional ira irrespective of income (just perhaps not tax deductible) thanks in advance for clarification of this issue>>

You friend's accountant was probably referring to a fully deductible traditional IRA. Those are limited by one's participation in a qualified retirement plan, income tax filing status, and adjusted gross income. But as long as your friend is younger than age 70 1/2 and has the earned income, he may always contribute to a nondeductible traditional IRA. Have him visit our IRA area at http://www.fool.com/Money/AllAboutIRAs/AllAboutIRAs.htm or my Foolish Retirement Plan Primer at http://www.fool.com/Retirement/Retirement.htm for details.

Regards..Pixy
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