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kewilliam: "Now I am getting conflicting information from the administrator of our DBP that says I CANNOT fund a traditional IRA in addition to our DBP.

This is what she says..

'Hi Kevin,

I am the right person to contact with this question. I've researched it for you and inclusion in the Defined Benefit Plan does exclude you from contributing to a traditional IRA.'

She offers no explanation, just a "no". I asked her for details but she has not gotten back to me yet.

Anybody have any thoughts on this?"

Your administrator is FOS!

Inclusion in the defined benefit plan, may, depending upon your income, make you ineligible to deduct a contribution to a traditional IRA, but it does not make you ineligible to contribute to an IRA.

If you cannot deduct the contribution, and you are eligible to contribute to a Roth IRA, then making the Roth contribution instead of a non-deductible, traditional IRA deduction is one of the few virtually no-brainer decisions around.

I cannot give you the citations, chpater and verse, but the gurus on the tax board could (you might even check its FAQ) or you could review

Regards, JAFO

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