If you make a non-deductible IRA contribution this year, make sure that you attach a Form 8606 to your tax return when you file. This tells the IRS what your basis is in the IRA.

If you don't do this, when you start taking money from that IRA it will be fully taxable and you will end up paying tax on that money twice.

An IRA is a tax-advantaged investment tool that you can use to save for retirement.

You can save $6,000 in 2019 (and if you're 50 or older, you can save $7,000). That contribution is deductible for many people, meaning it reduces your taxable income. If you have higher levels of income, that deduction can be phased out or eliminated completely.

You may still decide to save to an IRA even if your contribution is not deductible.

If that is the case, fill out Form 8606 and file it with your tax return. This will help you keep track of your IRA’s basis and notify the IRS that a portion of your withdrawals in retirement will be tax-free.

An IRA with non-deductible contributions will be subject to the pro-rata rule.

When it comes time to distribute money from your IRA, you can't choose to distribute the tax-free portion only. The tax-free money has to come out on a pro-rata basis.

Linda Rogers, CFP®, EA, MSBA is the owner and founder of Planning Within Reach, LLC (PWR). Originally from New Jersey, Linda services clients throughout San Diego county and nationwide. She leads the design of PWR's investment portfolios which utilize broad, low-cost investments that integrate environmentally, socially, and governance (ESG) factors.

Planning Within Reach, LLC (PWR) is a fee-only and fiduciary wealth management firm offering one-time comprehensive financial planning, ongoing impact-focused investment management and tax preparation services in San Diego and nationwide. PWR is a woman-owned firm that specializes in busy professionals and impact investors. Planning Within Reach, LLC and their advisors do not receive commissions and do not hold any insurance licenses or brokerage relationships.