HW "Skip" Weldon wrote:
> Over-50 person has $5000 gross income from part-time teaching.
> Because part-timers are eligible for state 401k plan, he contributed
> $1500 to 401k.
>
> What is the max he can contribute to Roth - $5000 or $3500?
>
>
> -HW "Skip" Weldon
> Columbia, SC
Sounds like $3500 to me.
http://www.fairmark.com/rothira/iracomp.htm
very bottom, explains it: "To make things easy, the IRS says you can
generally treat any item as compensation income if it's included in the
box of Form W-2 labeled "Wages, tips, other compensation." There's one
exception: any ****tion of "Wages, tips, other compensation" that's also
reflected in the box labeled "Nonqualified plans" doesn't count as
"compensation income" for this purpose."
Joe
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