See page 15 of Publication 590--http://www.irs.gov/pub/irs-pdf/p590.pdfIt matters only whether you are offered a plan, whether or not you participate. And your employer checks a box on your W-2 to indicate if you are covered.So if you are single, you can contribute to an IRA, but it is not deductible. It is deductible if you are married and file a joint return.But note, the $6500 annual contribution limit applies to the sum of your Roth and traditional IRA contributions.The larger contribution limits of your 401k could make contributions there too attractive. Roth and IRA give you better control and ideally better investment returns, but at some time in the future the 401k can be rolled over to an IRA and converted to a Roth. That can give you a much better nestegg to retire on (if you can fit the larger contributions into your budget).
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra