Comments on: 2010 IRS Maximum Allowed Roth & Traditional IRA Contribution Limits http://20somethingfinance.com/2010-irs-maximum-allowed-roth-traditional-ira-contribution-limits/ Personal Finance Blog for Young Professionals Thu, 09 Feb 2012 04:41:11 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Barb Johnson http://20somethingfinance.com/2010-irs-maximum-allowed-roth-traditional-ira-contribution-limits/comment-page-1/#comment-18475 Barb Johnson Sat, 29 Jan 2011 18:59:36 +0000 http://20somethingfinance.com/?p=1685#comment-18475 I would like to know if I can contribute toward my IRA (traditional) or start a Roth IRA with alimony payments made to me in the year 2010. If you do not know, could you direct me to a source that could tell me? I would like to know if I can contribute toward my IRA (traditional) or start a Roth IRA with alimony payments made to me in the year 2010. If you do not know, could you direct me to a source that could tell me?

]]> By: Craig http://20somethingfinance.com/2010-irs-maximum-allowed-roth-traditional-ira-contribution-limits/comment-page-1/#comment-6082 Craig Tue, 29 Dec 2009 16:44:17 +0000 http://20somethingfinance.com/?p=1685#comment-6082 I was fortunate and a bit lucky and was able to start and max out my Roth IRA for this past year. It is going to be a struggle to do so again next year but am going to try hard. I was fortunate and a bit lucky and was able to start and max out my Roth IRA for this past year. It is going to be a struggle to do so again next year but am going to try hard.

]]> By: Waldo http://20somethingfinance.com/2010-irs-maximum-allowed-roth-traditional-ira-contribution-limits/comment-page-1/#comment-6068 Waldo Tue, 29 Dec 2009 07:28:34 +0000 http://20somethingfinance.com/?p=1685#comment-6068 As I understand it you have to have had income of at least the amount you contribute to the IRA, but other than that it's anyone. (The max-income limit restricts how much you can contribute to a Roth IRA instead of traditional, of course, but the total limit for both is still $5000.) At least Fidelity allows automating the contribution on a monthly basis, according to their online promotional materials for their no-setup-fee IRA option; I assume it's a standard feature. As for the questions: * How much do you plan on investing in your 2009 IRA contribution? What about your 2010 IRA contribution? The max both times, although I plan to set up and fully fund the 2009 IRA in a month or so after I'm slightly more liquid (some deferred expenses from the year leave me thin right now). * Have you ever maxed out your IRA contributions in addition to your 401(k)? This year, when I get around to funding the IRA. I didn't for 2008, really really should have maxed the IRA when my income was so low (newly employed for a fraction of the year). I didn't make enough to max out both in 2008. * Do you have both a Roth and Traditional IRA? Which do you contribute to more? I believe I qualify fully for a Roth for 2009, so I'll contribute entirely there. I suspect my income will eventually exceed the limit, so I'll keep doing Roth as long as I can, to the greatest extent that I can, in the interests of diversifying against many years with only traditional contributions. A 401(k) with its much higher limits will be where I keep the bulk of my investment, however, at least until I start considering investing money outside of either vehicle (might happen this year). As I understand it you have to have had income of at least the amount you contribute to the IRA, but other than that it’s anyone. (The max-income limit restricts how much you can contribute to a Roth IRA instead of traditional, of course, but the total limit for both is still $5000.) At least Fidelity allows automating the contribution on a monthly basis, according to their online promotional materials for their no-setup-fee IRA option; I assume it’s a standard feature.

As for the questions:

* How much do you plan on investing in your 2009 IRA contribution? What about your 2010 IRA contribution?
The max both times, although I plan to set up and fully fund the 2009 IRA in a month or so after I’m slightly more liquid (some deferred expenses from the year leave me thin right now).

* Have you ever maxed out your IRA contributions in addition to your 401(k)?
This year, when I get around to funding the IRA. I didn’t for 2008, really really should have maxed the IRA when my income was so low (newly employed for a fraction of the year). I didn’t make enough to max out both in 2008.

* Do you have both a Roth and Traditional IRA? Which do you contribute to more?
I believe I qualify fully for a Roth for 2009, so I’ll contribute entirely there. I suspect my income will eventually exceed the limit, so I’ll keep doing Roth as long as I can, to the greatest extent that I can, in the interests of diversifying against many years with only traditional contributions. A 401(k) with its much higher limits will be where I keep the bulk of my investment, however, at least until I start considering investing money outside of either vehicle (might happen this year).

]]> By: Ron http://20somethingfinance.com/2010-irs-maximum-allowed-roth-traditional-ira-contribution-limits/comment-page-1/#comment-6066 Ron Tue, 29 Dec 2009 04:28:16 +0000 http://20somethingfinance.com/?p=1685#comment-6066 Is anyone these days able to contribute the maximum of $5000/yr? And can these contributions be automated, or must it always be done in person and filling out paperwork? Is anyone these days able to contribute the maximum of $5000/yr? And can these contributions be automated, or must it always be done in person and filling out paperwork?

]]>