Question

Question about pensions and investing for retirement. I recently finished the book The Power of Zero and he's a big proponent of the LIRP. However, from reading other people, seems like a lot of them hate it. Does anyone here have experience with a LIRP. My pension is (most likely) going to be greater than the standard deduction. I already max out my Roth, so just trying to figure out what else to do with my retirement money. I'm currently contributing to an ETF through Wealthfront, putting some money in Fundrise, and saving up to start real estate investing using BRRRR. Just wanted to see how other people with a pension were investing. Also what are other good tax strategies when you exceed the income requirements for being able to contribute to a Roth?  

Answer 1

Do you have an employer sponsored 401k/403b/457b? I have a pension as well and max out my 457b and Roth IRA and contribute additional income every month to a taxable brokerage using index funds. Do you have kids? Contributing to education accounts could be an option if you do. If you exceed income requirements for the Roth IRA, you could contribute to a traditional IRA or look into the Backdoor Roth IRA contribution -  
https://www.bogleheads.org/wiki/Bac..._Roth

Comments

No, I didn’t have any employer sponsored retirement plans. No kids. Thanks for the website, I’ll check it out!