Rollovers/Retirement

[Frugal45]

So if I am not able to max out both (which I think we will but anyway) if I am not able to max out both I should do:

1. Roll her existing 401k into a traditional IRA
2. Continue contributing 6% into both 401ks (for the match)
3. Deposit any excess into the traditional IRA.

If I can max them both out then you would do the following:

1. Roll her existing 401k into a traditional IRA and convert to Roth
2. Continue contributing 6% into both 401ks (for the match)
3. Deposit any excess into the Roth IRA.

[Hector]

Originally Posted by Frugal45

So if I am not able to max out both (which I think we will but anyway) if I am not able to max out both I should do:

1. Roll her existing 401k into a traditional IRA
2. Continue contributing 6% into both 401ks (for the match)
3. Deposit any excess into the traditional IRA.

If I can max them both out then you would do the following:

1. Roll her existing 401k into a traditional IRA and convert to Roth
2. Continue contributing 6% into both 401ks (for the match)
3. Deposit any excess into the Roth IRA.

I will definitely
1. Roll her existing 401k into IRA
2. Continue contributing 6% into both 401ks for the match
3. Deposit excess to IRA (Roth if you are able to max bot, traditional if you are not able to match)
You will need to be careful if you are thinking about 'Roll her existing 401k into a traditional IRA and convert to Roth' I am not sure how much do you want to convert regular to Roth. I am also not aware about maximum limit of that conversation, but you will need to pay taxes on this so calculate it and make sure you are increasing your tax bracket in doing so.