If you make too much money but still want to fund an IRA, you might want to consider a non-deductible IRA.

If you’ve maxed out your 401k and you don’t qualify for a Roth IRA, you can make non-deductible contributions to a traditional IRA. Non-deductible IRAs have no individual income limits, but all contributions are made with dollars that have already been taxed. When you take a withdrawal, all earnings are taxed at ordinary income rates. The maximum contribution limit – $4,000 – applies.

If you’re considering a non-deductible IRA, be sure to fully consider the tax implications. The non-deductible IRA allows you to defer your tax bill. But the taxes you’ll pay on earnings can reach as high as 35% under today’s tax rates. There’s no telling what they might be 35 years from now.

Sure, you can’t defer taxes when investing in a regular brokerage account. But long-term capital gains rates (the taxes you pay on gains from assets held over a year) are currently at an attractive 15% rate. You’ll need to evaluate which is best for your situation. Also, always make sure you’re not eligible for a Roth IRA before you open a non-deductible IRA.