No. of Recommendations: 0
I also forgot to add that you might want to consider an annuity. There are some relatively cheap ones--I believe Vanguard and TIAA-CREF offer ones that are not too expensive. In an annuity the contributions are not tax deductible, but the money does grow tax-free. When you begin withdrawals, you are taxed on a percentage basis of contributions/profits (you're not double-taxed on your contributions IOW).

Keep in mind that your investment choices are limited in an annuity, and you are charged an extra annual fee that you wouldn't be charged in a taxable account. Please do a thorough investigation of what annuities are and how they work before investing. For many investors they are not suitable, but in a few cases, like those with high incomes who are saving/want to save a lot they can offer a way for the dollars to grow tax-free. I have one because, like you, I'm not eligible for a Roth, I've already maxed out my 401K and non-deductible TIRA, plus I save a substantial amount into a taxable account. I also consider it a way to gain more tax-conscious withdrawal flexibility during retirement.

It's another thing to consider. You might want to read this thread:


Print the post  


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!
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.
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.