If your employer offers a SIMPLE IRA (same tax structure as a traditional IRA I believe) with $10k contribution limit/year and 3% salary match, instead of a 401k, can you open a Roth IRA as well? Do you have to wait until employment is terminated?

 

As far as I know, Roth is not limited by anything with the exception of income, which cannot exceed 95K a year for a single, and 105 or 115 combined (husband wife.)

 

You can have both a Simple/SEP IRAs as they are considered to be similar to a 401k/403b, that is paid by your employer. However there is a catch, which you probably fall under. If YOU contribute anything to your Simple it reduces the amount you can contribute to a Roth or Traditional IRA. So, if you contribute $3,000 a year to the Simple IRA you can only contribute 1,000 to the Roth. Subject to the normal income limitations (<95k single, 150k married filing joint before it begins to phase out). Again, that's only the income you contribute, not what your employer is contributing.

 

Ok, that stinks

 

Should have thought of this earlier...

The up to $10,000 you can take is salary reduction not normal contributions, so it doesn't effect how much you can contribute to a Roth/Traditional. Simple has to have existed for two years and your AGI has to be less than 100,000. So it's actually a very nice situation. You can also roll over from the Simple to Roth.

 

Oh ok.. yes all the money I put in is salary reduction. thanks for the info.