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ave a question about opening a Roth IRA. I work at a
private, Catholic high school that is a non-profit organization.
I have a 403b pension plan that was totally self-funded
up until this July, which is when the school decided it
would match up to 2 1/2% of my gross salary as long as I
contributed at least 2 1/2%. I also have an IRA which I have
NOT contributed to since it was money a previous employer
had contributed in that company's pension plan (I just
rolled it over to a IRA-I think its a 401k-but again I've
never contributed to it with any of my own money). The
question I have is how much can I contribute to a new Roth IRA?

I have a wife and she is part of a public employees retirement
plan in the New York State Public Employees Retirement
program. We file our taxes married, filing jointly. Through
the end of the year I will have contributed $975 to my
403b (also known as a TSA/TDA). How much can I contribute
to a Roth IRA (if indeed I can)? and Can I just send a check to my online broker which does offer (free of charge to open
the account) the Roth IRA and invest it
in one or two companies prior to the end of this year?
Finally, can I open a Roth IRA account (with her consent
of course) for her and how much can I contribute?


***You may each contribute up to $2,000, annually, as long as your adjusted gross income does not exceed $150,000. At that point you are limited and your ability to contribute is phased out completely when your modified adjusted income reaches $160,000.

If you are talking about converting from a traditional IRA to a Roth IRA, you may do so (penalty free) but will have to pay tax on the amounts moved into the Roth. In order to make such contributions, your modified adusted income could not exceed $100,000.

"Jack"
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