Will Trice wrote:

- quote -

This only goes to the point that there are "too many rules","too many
different choices". I'd like to see a fixed number, say $20,000, that
one can save pre-tax or Roth, your choice, regardless of anything else.
You want an extra amount for 50+? Ok, but that's the only 'other' rule
to remember. I know, wishful thinking.
JOE

joetaxpayer wrote:

- quote -

Ah, I think I'm getting confused with the Roth limits. Thanks.

-Will

william dot trice at ngc dot com

Will Trice wrote:

- quote -

Well, it's WHY there's those limits. If no 401(k) (or other acct. such
as 403(b) there is no limit on income for deductibility.
JOE

www.blog.joetaxpayer.com

joetaxpayer wrote:

- quote -

Is that true even with the existence of his company's 401(k)?

-Will

william dot trice at ngc dot com

PeterL wrote:
- quote -

Yes, I should be able to contribute to a 401k plan later this year.
I will attempt to contribute the maximum amount I can.

Am I allowed to contribute to both the Roth and traditional IRA this
year? I'm 53 years old.

Also, since I'm working away from my home I'm on a per diem taxing
situation. They are only taxing me on about 40% of my income and the
rest is to take care of my living arrangements. Is there a tax
implication to this?
Are my 401k contributions based on taxable income or gross?

Thanks

Dave

On Feb 2, 4:43*pm, Dave <bonanza...[at]att.net> wrote:
- quote -



Are you allowed to start the 401K sometimes this year? Will there be
a contribution limit at that time? Can you make a full year's worth
of contribution the remainder of this year?

Dave wrote:
- quote -

In 2008, an IRA would be deductible if your income is $53,000 or less,
or pro-rated (scaled) up to an income of $63,000. If Married filing
joint the number go from $83K-$103K. Sandra gave a link regarding Roth
eligibility.
JOE

Dave <bonanzaman[at]att.net> writes:

- quote -

If it's just a few months until you're eligible for the 401(k) plan,
you can probably make up the your full contribution for the year after
that. You'll have to read your plan documents about any maximums on
contributions or employer matching.

In the meantime, if you haven't made a 2007 IRA contribution yet, you
have until April 15 to do so, as well as making your 2008 contribution now.

Here's an article about Roth IRA eligibility:

http://www.fairmark.com/rothira/roth101.htm

-Sandra

I started a job in December which won't allow me to use the 401k plan
for the next few months.
What am i allowed to contribute to?
Can i contribute to a roth and an IRA for 2008 and then when allowed,
contribute to the 401k plan?

Thanks

Dave