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Author: mdbfool7 Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 75340  
Subject: Roth and 401k-->Traditional IRA Date: 11/2/2000 9:16 PM
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I am in my mid 20's and I currently am funding my Roth IRA each year with the $2000 annual max. I have a 401k
plan, which I am 100% vest in at all times (including company contributions), that has limited investment options. I feel as if I can earn far better returns in a traditional IRA an in my 401k.

I know that I can not contribute to both a Roth and a Traditional IRA in the same year. My question is whether I could roll over my 401k into a traditional IRA, each year and not worry about the tax deduction, and still make my $2000 annual roth contributions? IRS Pub 590 seems to read that a rollover from a qualified retirement plan to a traditional ira
is not considered a contribution.

thanks,

mdbfool
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