To find out the maximum you can contribute to your 403(b), contact your employer's benefits department or find out who is administering the plan and give them a call. The retirement plan rules changed dramatically effective 1/1/02, and you're probably allowed to contribute $11,000 into your 403(b) plan this year.




Also, in addition to your 403(b) plan contributions, you can contribute $3,000 to your Roth, as long as you earn less than $95,000 if you're single or $150,000 if you're married. (A single person can earn up to $110,000 and a married couple can earn up to $160,000 and make a partial Roth contribution.)

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Replying to:

If my salary for 2002 is 50000 and I receive a pension of 10% of my salary, which is 5000$ a year, can i still contribute the max of an additonal 11,000$ to my 403b plan.




Also, in addition to my 403b can i contribute the additional 3000$ towards a roth or traditional IRA?




Thank you

Zip Code: cpa@mdtaxes.com

can i contribute 3000$ to a traditional IRA instead of the ROth?

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Replying to:

To find out the maximum you can contribute to your 403(b), contact your employer's benefits department or find out who is administering the plan and give them a call. The retirement plan rules changed dramatically effective 1/1/02, and you're probably allowed to contribute $11,000 into your 403(b) plan this year.




Also, in addition to your 403(b) plan contributions, you can contribute $3,000 to your Roth, as long as you earn less than $95,000 if you're single or $150,000 if you're married. (A single person can earn up to $110,000 and a married couple can earn up to $160,000 and make a partial Roth contribution.)

--- --- --- --- --- --- --- --- ---

Replying to:

If my salary for 2002 is 50000 and I receive a pension of 10% of my salary, which is 5000$ a year, can i still contribute the max of an additonal 11,000$ to my 403b plan.




Also, in addition to my 403b can i contribute the additional 3000$ towards a roth or traditional IRA?




Thank you

Zip Code: agormd@aol.com

Yes, but why would you?




In most cases, if you're covered under a retirement plan at work, you're not entitled to make a deductible contribution to a traditional IRA. So you have the choice of making a non-deductible contribution to a traditional IRA that grows tax-deferred (meaning you pay taxes on the earnings when you take distributions), or a non-deductible contribution to a Roth IRA that grows tax-free. Why forego the tax-free growth of a Roth if you don't get a tax deduction today.




Keep in mind that the rules governing IRAs are pretty complicated. If your adjusted gross income (AGI) is low enough, (less than $44,000 if you're single or $64,000 if you're married) you can make deductible IRA contributions even if you're covered under a retirement plan at work. And that threshold increases each year.




And if you're single and your AGI exceeds $110,000 or married and your combined AGI exceeds $160,000, you not entitled to contribute to a Roth that year.

--- --- --- --- --- --- --- --- ---

Replying to:

can i contribute 3000$ to a traditional IRA instead of the ROth?

--- --- --- --- --- --- --- --- ---

Replying to:

To find out the maximum you can contribute to your 403(b), contact your employer's benefits department or find out who is administering the plan and give them a call. The retirement plan rules changed dramatically effective 1/1/02, and you're probably allowed to contribute $11,000 into your 403(b) plan this year.




Also, in addition to your 403(b) plan contributions, you can contribute $3,000 to your Roth, as long as you earn less than $95,000 if you're single or $150,000 if you're married. (A single person can earn up to $110,000 and a married couple can earn up to $160,000 and make a partial Roth contribution.)

--- --- --- --- --- --- --- --- ---

Replying to:

If my salary for 2002 is 50000 and I receive a pension of 10% of my salary, which is 5000$ a year, can i still contribute the max of an additonal 11,000$ to my 403b plan.




Also, in addition to my 403b can i contribute the additional 3000$ towards a roth or traditional IRA?




Thank you

Zip Code: cpa@mdtaxes.com