Roth IRA and eligiblity.

[Guest Lauragirl12]

Can both my husband and I each invest in a Roth IRA if his company contributes money into a profit sharing pension plan for him every year and if he earns more than 100,000/year

[Archimage]

Yes, you may contribute to a Roth IRA. Being active in a qualified plan does not keep you from contributing to a Roth IRA but could for a traditional IRA. Your income is currently under the limit of phaseout which starts at $150,000.

[BPickerCPA]

Being active in a qualified does NOT preclude one from contributing to a traditional IRA. Only age does.

[Archimage]

That is not true. If a married couples' modified AGI is above $54,000 for 2002, then limitations set in concerning the amount you can deduct. This is addressed in IRC 219(g).

[BPickerCPA]

You are correct that limitations come into play in the amount you can DEDUCT. But there are no limitations, based upon participation, on the amount you can CONTRIBUTE. That's what you said in your first message.