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Personal Finance (Not Investing) • Odd reason to NOT max out IRA contribution until after New Year

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I believe you could instead do Roth 401k contributions, which would then leave you with income from which you (given low income) and/or your wife could contribute to a traditional IRA.
That is true, but I would have to pay NY state income tax which would be a PITA. Plus I would have to open a Roth 401(k) which is at least now available at Schwab where I have my traditional 401(k). It is true that I could then "double-dip" on the Roth contributions, but I believe the NY State Income tax is high because it is based on all my income being NY based and then pro-rated for just the NY portion. At this point in time I have converted all my traditional IRA to a Roth IRA and we are working on converting my spouse's traditional IRA to Roth.
Gotcha, that makes sense for your situation. I didn't know NY treats trad 401k and trad IRA differently.

Statistics: Posted by AnEngineer — Sun Dec 29, 2024 1:41 pm — Replies 17 — Views 1500



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