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Learning, Sharing, and Teaching => Investor Alley => Topic started by: Drifterrider on March 04, 2015, 11:39:57 AM

Title: Need more tax deferred savings
Post by: Drifterrider on March 04, 2015, 11:39:57 AM

I max my TSP (401K) including the over 50 "catch up".  My MAGI is over 60K.  What other tax deferred savings/investments should I consider.

I am very risk averse and within 5 years of retirement (although I will probably work another ten years).

Title: Re: Need more tax deferred savings
Post by: MDM on March 04, 2015, 11:51:11 AM

Quote from: Drifterrider on March 04, 2015, 11:39:57 AM

I max my TSP (401K) including the over 50 "catch up".  My MAGI is over 60K.  What other tax deferred savings/investments should I consider.

I am very risk averse and within 5 years of retirement (although I will probably work another ten years).

1) IRA.  How much over $60K are you?  IRA is fully deductible up to $61K, and partially deductible through $71K.  See http://www.irs.gov/Retirement-Plans/2015-IRA-Deduction-Limits-Effect-of-Modified-AGI-on-Deduction-if-You-Are-Covered-by-a-Retirement-Plan-at-Work

2) HSA if you have high deductible health insurance.

3) Do you have access to a 457?

Title: Re: Need more tax deferred savings
Post by: Drifterrider on March 04, 2015, 01:06:09 PM

I have not computed my MAGI for this year (and can't readily touch my return from last year) but I am probably over 71K.  I bought rental property last year but it is still under renovations.  I can take some of the expenses because I actively participated but I don't have the numbers yet.  (I'm behind this year.  I usually have my returns completed by the end of January).

I am a US Federal employee.  I believe the 457 is only available to state and local governments.

I am not eligible for an HSA.