My salary phases me out of being able to contribute to a Roth IRA and I'm also phased out of any tax break from a traditional IRA.Do you have other pre-tax IRAs in your name? If not, you could contribute to a non-deductible IRA and immediately convert to a Roth IRA, since there is no longer an income limit on conversions.I know that the answer is really complicated and based on future tax rates as compared to current rates. I'm 45. I have about $250K in total in all my retirement accounts. I'm in a high tax bracket right now as my wife and I make more than $250K/yr combined.My thoughts are to skip the tax break that I'd get by reducing my taxable income in the current year (i.e., favor the Roth 401(K)). I think this will give me a tax diversification strategy.Are you planning on retiring before you have to start RMDs at 70 1/2? If so, are you going to have some lower income years to do conversions from pre-tax to Roth? You might want to take a tax break now, if you are going to be able to convert later at lower rates.AJ
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