In my post about Roth IRA conversions, commenter JT pointed out a good way to get around the Roth IRA income limits if your income varies from year to year. Simply put contribute to a non-deductible Traditional IRA, and wait until your modified AGI drops below the $100,000 limit to do the conversion into a Roth. Maybe you plan on going back to school or are cutting back your hours to stay home with the kids? Although the limits go away in 2010 anyways, it’s something to consider.

For example, in 2005 I made too much to fully fund my Roth (phase out) but I’d be making less than $100K MAGI (salary - 401k) in 2006, so before April 15th in 2006 I put the excess contribution ...