Ernie Klein wrote:
- quote -

For 2006 the contribution limit remained the same but the
catchup limit was raided from $500 to $1000. Therefore the
limit for someone => 50 is $5000 for 2006.

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"A.G. Kalman" <glendale202-tax[at]yahoo.com> wrote:
- quote -

Isn't it $5000 (if over 50) now (2006)?

--
-Ernie-
"There are only two kinds of computer users -- those who have
suffered a catastrophic hard drive failure, and those who will."
Have you done your backup today?

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"ketanparekh[at]gmail.com" <ketanparekh[at]gmail.com> writes:

- quote -

Yes, assuming your income isn't so high that you
become ineligible to make Roth IRA contributions.

- quote -

Yes, but the $4000 contribution limit is a combined
limit. So if you put $2000 in the trad IRA you
can only put $2000 in the Roth IRA, for example.

--
Rich Carreiro rlcarr[at]animato.arlington.ma.us

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<ketanparekh[at]gmail.com> wrote:

- quote -

The answer depends on a what your adjusted gross income is.
There are phase out amounts in place. For an IRA they start
at $70,000 and end at $80,000. For a ROTH the phase out goes
from $150,000 to $160,000. Hope that helps you.

--
Bruce Raskin, CPA, P.C.
Braskincpa[at]wbhsi.net
Tax and accounting Services
Chandler, AZ

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1. Can I have a Roth IRA on my name + max 401k? Yes, if your
incomes are below the Roth threshhold.

2. Can my wife have a Traditional IRA and Roth IRA? Yes, but
the maximum sum of the contibutions to the two together is
limited. The tax deductablility of the traditional and the
ability to Roth has income limits.

Some tax advisers are recommending a "balanced" retirement
savings of deferred and non-deferred accounts. The reasoning
is the unpredictability of future tax rates which see major
changes about every decade or so. 401Ks and traditional
IRAs withdrawals are taxed at regular income rates.
Currently income tax rates are at 70 year lows and some
expect increases to support future governement needs. So
you might be deferring at low tax rates and withdrawing at
high tax rates. And tax laws and retirment accounts will
probably change again. If you in you 30s you will have up
to 60 years of such changes.

Its still better to save something in any kind of account
rather than avoid saving due to complexity.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

"ketanparekh[at]gmail.com" <ketanparekh[at]gmail.com> wrote:

- quote -

Yes, if your MAGI is less than $160K. If not, you can have
a traditional IRA, but you won't be able to deduct the
contributions.

- quote -

Yes, but the total of contributions to both is limited to
$4,000 for 2005. So she can contribute $2,000 to the
Traditional and $2,000 to the Roth.

--
Barry Margolin, barmar[at]alum.mit.edu
Arlington, MA
*** PLEASE don't copy me on replies, I'll read them in the group ***

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ketanparekh[at]gmail.com wrote:

- quote -

Yes to all of your questions. However, the maximum annual
contribution ($4000 or $4500 if age 50) for an individual to
an IRA or Roth IRA is measured against the sum of all annual
contributions made by that individual to all IRA & Roth IRA
accounts.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

<ketanparekh[at]gmail.com> wrote:

- quote -

Since she is not covered by a retirement plan but you are,
this contribution is fully deductible if your joint AGI is
under $150,000.

- quote -

Yes, as long as your AGI is within Roth limits.

- quote -

Yes, but the $4,000 per person annual contribution limit is
for traditional and Roth combined.

--
Phil Marti
Clarksburg, MD

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ketanparekh[at]gmail.com wrote:

- quote -

Yes, as long as you meet the MAGI limit of $160,000. Roth
IRA contributions are not affected by your 401(k)
contributions.

- quote -

Yes, as long as you meet the MAGI limit of $160,000 and you
limit your TOTAL contributions to her TIRA and Roth to
$4,000 ($5,000 if she is 50 or older). The contributions
allowed will be reduced if your MAGI is between $150,000 and
160,000.

These are 2006 contribution limits, BTW.

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

I need some advice on the above subject.

I max out my 401k each year. My wife is a homemaker so
I put in Traditional IRA on her name. My question is
1. Can I have a Roth IRA on my name + max 401k ?
2. Can my wife have a Traditional IRA and Roth IRA ?

Thanks in advance..

~Ketan

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >