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Matthew writes:

<<Paul, are you sure your information is correct? I had a roll/over IRA for 20 years and I was given to understand by my brokers that you cannot make cash contributions to a R/O account, other than from another R/O account!>>

That is true provided your intent is to retain your eligibility to later transfer the IRA to a new employer's qualified retirement plan that accepts rollover money from an old employer's plan. Otherwise, it makes no difference. Putting other IRA money or annual contributions into the rollover IRA is permitted, but when that happens the rollover IRA loses the eligibility for a subsequent transfer to a new employer's plan. Around Fooldom we don't consider that a big issue because we prefer the freedom of investment choices within an IRA as compared to that found in a typical company plan.

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