What is the max contribution to a Roth IRA this year?

[FortFunFoSho]

Also, does it have to be invested in a mutual fund? Or can you put it into stocks as well?

 

[LuckyTaxi]

i thought it was $4k

 

[nwfsnake]

$4K for '05, '06, '07, then $5K starting in '08.

 

[Engineer]

Originally posted by: lilcam
i thought it was $4k

It is.

 

[Triumph]

4k, google it! you can invest in whatever you want, as long as the account is listed as a Roth. i have a TD Waterhouse account that i put all of my Roth money in, and i can buy 4k of individual stocks or 4k of mutual funds, doesn't matter.

 

[FortFunFoSho]

Hmm ok. Thank you Triumph.

Any suggestions on what service to use to start it up through?

Obviously I could use about any broker I wanted, but I am curious if anyone is a wizard on fees and minimum deposits.

 

[EagleKeeper]

Some places will allow an IRA account to be opened with a min of $50-100.
Fees can range from $5-10/year on up depending on how greeding the paperpushers are.

 

[GTaudiophile]

I think it's $4500, not $4K.

 

[thirtythree]

Originally posted by: GTaudiophile
I think it's $4500, not $4K.

I'm pretty sure it's 4k. EDIT: Oops! I forgot it's a new year. They may have raised it, but I know it was 4k in 2005.

FortFunFoSho: vanguard.com is pretty good/easy IMO.

 

[GTaudiophile]

Originally posted by: thirtythree

Originally posted by: GTaudiophile
I think it's $4500, not $4K.

I'm pretty sure it's 4k. EDIT: Oops! I forgot it's a new year. They may have raised it, but I know it was 4k in 2005.

FortFunFoSho: vanguard.com is pretty good/easy IMO.

Wait! So is the max contribution $4K or $4.5K for tax year 2005?

 

[vi edit]

Originally posted by: GTaudiophile
I think it's $4500, not $4K.

Only for catchup (over 50 years old)

http://flagship3.vanguard.com/VGApp/hnw...ent/ATSRothIRAWhoContributeContent.jsp

 

[GTaudiophile]

Originally posted by: vi_edit

Originally posted by: GTaudiophile
I think it's $4500, not $4K.

Only for catchup (over 50 years old)

http://flagship3.vanguard.com/VGApp/hnw...ent/ATSRothIRAWhoContributeContent.jsp

DoH! I forgot about that caveat!

 

[thirtythree]

Originally posted by: GTaudiophile

Originally posted by: thirtythree

Originally posted by: GTaudiophile
I think it's $4500, not $4K.

I'm pretty sure it's 4k. EDIT: Oops! I forgot it's a new year. They may have raised it, but I know it was 4k in 2005.

FortFunFoSho: vanguard.com is pretty good/easy IMO.

Wait! So is the max contribution $4K or $4.5K for tax year 2005?

For 2005, the maximum contributions for traditional and Roth IRAs are $4,000. For 401(k) plans, the maximum is $14,000. Both allow special catch-up contributions for people age 50 and older. For 401(k) plans, the catch-up is an additional $4,000 (for a maximum of $18,000). For IRAs, the catch-up contribution is $500 (for a maximum of $4,500).

Too slow

 

[axnff]

For 2006, the catch-up is $1k (for a total of $5k for the AARP crowd...)