If I max my 401k and put an addl $20k to $40k yr into other investments / funds, do I need an IRA?

Is there any benefit to me to have the non 401k account be an IRA? I'm maxing my 401k, and the other account is currently a standard taxable account made up of about 13 ETFs and Mutual funds. I put anywhere from $20k to $40k per year into this account.

I knew a guy named Ira when I lived in New York city. I would never trust him with any money!!! Don't do it.

You cannot max out your 401K and deposit money into a Traditional IRA also.

You might qualify for a Roth IRA, depending on your adjusted gross income.

The nice thing is, that putting all that money into a 401K reduces your adjusted gross income so you might actually qualify for a Roth IRA.

The benefits of investing in an IRA are about taxes. For a Traditional IRA, your contributions may be tax-deductible (up to $4000 per year, if you qualify) and you don't pay taxes until you take distributions. Your earnings grow tax-free until you take your money out. Or, if your AGI meets the IRS limit you may be able to contribute your after-tax dollars into a Roth IRA. If your other account is there primarily to fund your retirement, an IRA might be worth looking into.

DG is basically correct. There is a definite benefit to having an IRA because your earnings are tax deferred even if your contributions are not tax deductible. That's a huge boost to your earnings if you have a long time until retirement.

If you have an extra $20-$40k after maxing out your 401k, and you have questions on what to do with it, you may want to speak with a professional financial advisor. That's a lot of money (good for you!) and a couple of bad decisions can cost you a lot of money. Find one that charges a per-hour fee instead of commissions. An unscrupulous commissioned advisor may be more interested in putting you into investments that make money for him/her than investments that make money for you. A fee-based advisor does not have that conflict because his/her income does not depend on selling you anything in particular. A good advisor may also be able to give you some strategies for saving on taxes. You can find information on selecting an advisor at www.kiplinger.com.