做一次rollover: traditional IRA -> Roth IRA 理想情况下traditional IRA中的6k nondeductible contribution被完全挪到了Roth IRA,此时rollover过程不需要缴税(当然6k不可以在当年收入中抵扣)。 当traditional IRA中含有pre-tax money时,我们要用pro-rata rule计算rollover产生的税。Pro...
Step 1 is necessary because if you didn’t do it, your conversion will be taxed by the percentage of pretax money in all IRAs (the “pro-rata rule”). Money in employer sponsored plans doesn’t count in the pro-rata rule. Step 5 – Report on your tax return Since you made a non...
Pro-Rata Rule Taxable Income from Backdoor Roth Troubleshooting Fresh Start Conversion Is Taxed Self vs Spouse What To Report You report on the tax return your contribution to a traditional IRA *for* that year, and you report your conversion to Roth *during* that year. For example, when you...
为应对traditional IRA的pro-rata rule,在年底清空traditional IRA为佳,所以mega backdoor优先rollover至pre-tax 401(k),这样一来不影响backdoor。 Mega Backdoor:Roth 401(k) variant Mega backdoor还有一种借助Roth 401(k)的变种, 第一步与前者相同,第二步的目的地变成了Roth 401(k),这是一种in-plan Roth...
Thoughts On Contributing To A Roth IRA By Tax Bracket Here are my estimated probabilities for a positive outcome if you do aRoth IRA conversionor contribute to a Roth IRA at your current marginal federal income tax bracket. A positive outcome is defined as saving money on taxes. ...
BDA — Beneficiary Distribution Account, commonly known as an inherited IRA — isn’t included because it isn’t yours, unless you inherited the account from your spouse and you make it yours. SeeInherited IRA and Roth Conversion Pro-Rata Rule. ...
2) Regarding the pro-rata rule for Roth conversions, does the mix of pre and post tax contributions include both 401k and IRAs or is that separate? 3) If I receive a 1099R for the automatic in-plan conversion to Roth in my 401k, this represents any earnings from the time the after-...