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If my wife and I each contribute $2000 per year to a Roth IRA, can it go into the same account? For instance, if we wanted to set up a Foolish Four within a Roth, could the maximum contribution from each of us go into one account? Or would the contributions have to be separated?

If not, any alternatives?
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<"For instance, if we wanted to set up a Foolish Four within a Roth, could the maximum contribution from each of us go into one account? Or would the contributions have to be separated?>"

IRAs must be kept separate, (the I stands for Individual) :)

The simple work around is to set up each individual IRA brokerage account, then you simply by two of the foolish four, and your wife buys the other two. I agree, combining everything would be easier, (my wife and I have 5 separate IRA accounts, due to ROTH, ROTH conversion, 401K conversion, etc. etc.) but the IRS is a stickler for details.

The accounts must be separate, but the strategy can be combined.
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<The accounts must be separate, but the strategy can be combined.>

Not for very long, however, if you intend to rebalance as the screen calls for. If the 2 stocks in your wife's account do great (say they're now worth $3K) & the 2 in your account suck eggs (go from $2k to $1.5K, then there is no way to buy a new Foolish Four with equal dollar amounts next year.

Chris
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Not for very long, however, if you intend to rebalance as the screen calls for. If the 2 stocks in your wife's account do great (say they're now worth $3K) & the 2 in your account suck eggs (go from $2k to $1.5K, then there is no way to buy a new Foolish Four with equal dollar amounts next year.


Sure there is. Since it's a year later, you're able to make another IRA contribution. Just use that to offset the loss in the portfolio. It's not pretty, bt it works.

My 3c.

Mark
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<<<<<Not for very long, however, if you intend to rebalance as the screen calls for. If the 2 stocks in your wife's account do great (say they're now worth $3K) & the 2 in your account suck eggs (go from $2k to $1.5K, then there is no way to buy a new Foolish Four with equal dollar amounts next year.>>>>>

>>>>Sure there is. Since it's a year later, you're able to make another IRA contribution. Just use that to offset the loss in the portfolio. It's not pretty, bt it works.<<<<<

Actually it doesn't. Since the new contributions are once again $2000 per account, the balance in them is still unequal: $3.5K and $5K. However, I have found that by buying one stock twice (once in each account) you can balance the 4-stock weightings perfectly. Sure you are wasting $16 ($8x2)max per year, but as your account keeps growing, it is a smaller percentage and I think acceptable. Even in the second year, with the total balances equal to $8.5K, $16 is a small price. Cheers!
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