- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Can a taxpayer over 50 contribute up to $7,500 to a combination of an IRA AND an employee 403-B state pension AND also contrubute another $7,500 to a Roth IRA in the same year?
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
This is stated oddly: "up to $7,500 to a combination of an IRA AND an employee 403-B state pension"
The IRA is an individual retirement account. The 403B is an employer-provided provision. So, they are not combined like that.
For instance, here is a great article for Roth + 403b:
You'll find similar articles that compare and contrast and tell you when something is combined with something else (such as all employer plans would share one limit).
Don't yell at us; we're volunteers
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
So than, despite having a 403-B you can still can contribute to an IRA and a Roth IRA but the only up to the yearly total of $7,500? (He is over 50 and is under the income level to qualify)
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
"He is over 50"
Here's one of the most significant differences:
403(b) contribution limits are $22,500 in 2023, and $23,000 in 2024. 403(b) catch-up contributions let those who are 50 and older save an extra $7,500 in 2023 and 2024. All of that is put into the 403(b). Don't be confused that the value $7,500 appears in different provisions. They don't link.
Don't yell at us; we're volunteers
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Okay but leaving the 403-B aside, can he contribute $7,500 into to each of an IRA AND a Roth?
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
"$7,500 into to each of an IRA AND a Roth?"
Are you using any IRA resources? Are you using any web resources? Or are you relying on peer users to do the work for you?
I googled:
ira vs roth ira contribution limits
and the very first result is:
"The maximum amount you can contribute in 2024 across all your IRAs—traditional or Roth—is $7,000 ($8,000 if you're age 50 or older). However, some rules affect IRA contributions and deductibility."
Also on the results listing:
https://www.investopedia.com/retirement/ira-contribution-limits/
Change your google term to:
ira vs roth ira contribution limits irs
And you can even start from a Subject listing:
https://www.irs.gov/retirement-plans/plan-sponsor/types-of-retirement-plans
Don't yell at us; we're volunteers
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content