No. of Recommendations: 1
Author: ccurrie Date: 4/15/02 12:50 AM Number: 34208
The subject line says it all -- can I have both a roth and traditional IRA? All the discussion I've read seems to center on the question how, when, & whether one can roll over a traditional IRA into a ROTH IRA. However, I've seen no discussion about having both. Is this because it's simply not possible to have both?

You can have as many IRAs of all different flavors as you want. However, your total yearly contribution to all of your IRAs added together cannot exceed $3000. There are also income limits that determine whether or not you can contribute to a ROTH IRA or not.

Lots of people have ROTH IRAs that they can no longer contribute to, because their income has increased past the limit. The money in these ROTH IRAs just stays there until retirement (and hopefully grows), when it, and all gains may be withdrawn tax free.

Many people who can no longer contribute to a ROTH IRA have opened Traditional IRAs, to which they can always contribute. The only issue with a Traditional IRA is whether or not the contribution is deductable.

RK
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