Roth (K) and Roth IRA

Is an individual restricted from contributiong to a Roth IRA If they currently contribute to a Roth 401(k) plan?



No.

However, the Roth 401k is after tax and choosing deferrals to the designated Roth account vrs the pre tax 401k account will result in your modified AGI being higher by the amount of the designated Roth contribution. If that modified AGI then exceeded the Roth IRA MAGI limit because of this difference, it would eliminate the Roth IRA contribution.



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