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So I just learned that it's not too late to fund an IRA for 2012. With a week left and never having done this before, I now get to decide which type I want to open.

Based on my (really vague) understanding of traditional vs. Roth IRAs, I feel like a Roth IRA is the best option for me. Here's the thing though: in 2012, my taxable income was ~25K. In 2013 that number is going to spike up quite a bit to ~200K, and I won't be eligible to contribute to a Roth IRA anymore.

Does it still make sense for me to open a Roth IRA with the expectation of funding it for 2012 only, or is there some better alternative that I'm not seeing?

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Does it still make sense for me to open a Roth IRA with the expectation of funding it for 2012 only?

Of course.

Is there some better alternative that I'm not seeing?

Yes. You can still contribute to a non-deductible IRA for 2013, and then convert that to Roth.

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