Whats the 2008 contribution limit for Roth 401k and Roth IRA combined?
The 2008 limit for a 401k is $15,500. If you’re 50 or older in 2008, you can contribute an additional $5,000. The 2008 limit for IRAs is $5,000. If you’re 50 or older on 2008, it’s $6,000. However, your ability to contribute to a Roth IRA is reduced or eliminated if your modified adjusted gross income exceeds a certain amount. The amount depends on your filing status. See IRS Publication 17 for details. You can download it from www.irs.gov. The combined limit is the individual limits added together ($20,500 or $26,500 depending on your age and subject to adjustment if have a Roth IRA and your modified AGI exceeds the limit). The limits apply regardless of whether the account is a Roth, traditional, or if you put some money in one of each. For example, let’s say that you want to fully fund your IRA, you’re under 50, and your modified AGI is less than the limit for a Roth IRA. You can put $5,000 in a traditional IRA. You can put $5,000 in a Roth IRA. Or, you can put some in both accounts
