No. of Recommendations: 0
Whineluvr writes:
1)Can I make contributions to both the IRA and the 401k? Someone told me that it is illegal to keep funding an IRA when you have a 401k. Is this true?

As others have noted, it's still legal to contribute to a traditional IRA, but you may not be able to deduct your contributions. However, if you determine that you will not be eligible for a deduction, you should contribute to a Roth IRA instead. Contributions to a Roth IRA are always better than nondeductible traditional IRA contributions, since earnings as well as contributions can eventually be withdrawn tax-free, and the Roth has fewer restrictions on distributions in general.

- Darrell
Print the post  

Announcements

The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement