My wife switched jobs earlier this year and she is not eligible for their 401k for 1 year. Since that was the case we starting putting money into a traditional IRA every month with after tax dollars. So far we have contributed $2,044 year to date.
I have a 401k at my job and I will be contributing the $20,500 max this year. The problem (if you can call it that) is that our income is going to be higher this year than we were expecting and our modified adjusted gross income will likely be higher than $214,000 even after maxing out the 401k & HSA contributions. Are we going to be penalized for the IRA contributions or can we just leave them alone since they were made with after tax dollars?
