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That $3K annual limit is the sum of Roth IRA and traditional IRA contributions for each individual. It is not affected at all by particupation in a 401K plan. You can still max your 401K and do the $3K IRA/Roth contribution.

The only relationship between IRA and 401K is that 401K is a "qualfied" plan which reduces the income limits above which your traditional IRA contribution is no longer tax deductible. However, numerous other plans are also qualified. Even a pension plan counts as qualified.

For those who want to same more than qualified plans allow, the only real choice is an annuity. However, Fools don't like them because most are costly, though Vanguard, Fidelity, and TRowe Price offer low cost ones without surrender charges. That's the place to go if you decide you want one.

Fools suggest instead that you look into LTBH (long term buy and hold) in a taxable account. By selecting investments that pay low dividends and holding them long term, you pay minimal income taxes until you sell and then at capital gains rates. An S&P Index fund works well for this. Tax managed mutual funds work well. Blue chip stocks work too. Real estate investments work. Growth stocks can also be used, but in the tech rally and crash, many were forced to sell before they wanted to (incurring lots of capital gains) or held on too long and watched their gains go away. This emphasises the importance of choosing something you can own long term with minimal concerns. Bare land can be great provided you can come up with the income to pay taxes.

Best of luck to you.
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