Whether the money itself from the employer is pretax or after tax money is irrelevant when put into a Traditional IRA. What determines the IRA contribution status is how *you* report it on your tax return. A contribution, reguardless where the money came from, can either be reported as a tax deduction (pre-tax) on the 1040 so that it is not taxed, or as a non-deductible contribution (after-tax) on a 8606 form for that tax year.
Your AGI will only be lowered if you deduct the contribution.
**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**
