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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better than nondeductible traditional IRA contributions, since earnings as well as contributions can eventually be withdrawn tax-free, and the Roth has fewer restrictions on distributions in general.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
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