ira and life insurance listed expense?

[bankit]

Are IRA and life insurance monthly payment allowed to list as expense? Also is it ok that your monthly expenses listed equal more than my income? I know that until my income rises that I will not be able to pay as much as I would like into my ira, but down the road I would like to make my max contribution? Thanks

[hhou812hh]

Are IRA and life insurance monthly payment allowed to list as expense? Also is it ok that your monthly expenses listed equal more than my income? I know that until my income rises that I will not be able to pay as much as I would like into my ira, but down the road I would like to make my max contribution? Thanks

Under current law I don't think the IRA contribution is allowed as an expense. A term life insurance plan "should" be ok. Under the new law while these IRA's will be exempt, I read somewhere that 401k/IRA contributions are allowed. I think I either read it wrong or the site that I read was wrong. It stated that 401k/IRA contributions are not considered disposable income. I don't know if they are talking about what's already in it or putting money in it every week.

I know I babbled, but hopefully I helped. Todd or HHM may have the correct answer.

[accentone]

Under the present law, 401K is not an allowable expense. Found that out the hard way ...

[HHM]

IRA, probably not an allowed as an expense.

Life Insurance, I suppose it depends on how much per month, but that will probably be ok.

[bankit]

My monthly life insurance amount is about 140. That includes one term policy and one permanent policy.

[Minera]

hmm I was allowed to list my 401K as an expense. Trustee didn't say a word about it.

[HHM]

You still list it as an expense regardless, but whether its allowed is another question.

It really depends on how much you pay per month. If, after subtracting your 401K/IRA contributions, you still would not have sufficient, positive disposible income, then no one will care.

[Minera]

oh that must have been the reason he didn't care, I don't contribute enough to make up the difference. My expenses are still almost 200 over my income, and only contribute $78 per month to 401K. So I am still like -$23 or something lol! Thanks HHM!