For my 2023 taxes, I am using the H+R Block online software. At one point it asks what is my “Basis of roth IRA contributions as of 12/31/2022”. I responded $0 because I didn’t make contributions to the roth IRA, only conversions. Then it asks what is my “Basis of roth IRA...
The Mega Backdoor Roth IRA allows you to contribute after-tax 401k contributions and then roll them over into a Roth IRA.
What you described isn’t possible. A conversion in 2023 can’t be recharacterized. It sounds like Vanguard only recharacterized part your remaining normal Roth contributions. Please confirm with Vanguard how much you contributed to Traditional and Roth IRAs after all the recharacterizations. If you...
While we're on the subject of confusing stuff, here's another one. A Backdoor Roth IRA is not the same as a Roth 401(k) contribution. With a Roth 401(k) contribution, you're trying to decide which is better—tax-deferred or tax-free. That can be a difficult decision. With a Bac...
vehicles like the 401(k) andskepticalof tax-now vehicles like the Roth IRA. Working in banking, I was already being taxed out the wazoo and had no desire to pay even more. Frankly, I wasn’t even familiar with the Roth IRA or the mega backdoor Roth IRA when I first started working...
My favorite platform is Vanguard, and it’s what I recommend. Each step below tells you what to do and how to make a Vanguard Backdoor Roth IRA contribution. STEP 1) Convert/Remove “other” IRAs If you don’t have any Traditional, SEP or SIMPLE IRAs with pre-tax money, go ...
Amazon said in response at the time that it is providing commuter benefits and subsidized parking rates, among other things, to help with its return-to-office policy. "It is an adjustment," said Jassy on Tuesday. "I understand that for a lot of people, and we're going ...
Having said that, I started after-tax contributions to my company’s 403(b) in 2021. They (Vanguard) perform an in-fund “roll-over” to my Roth account for me as soon as the deposit hits the account so I don’t have to worry about any earnings which has been great. ...
A step-by-step tutorial for how to do a backdoor Roth IRA, including links to articles on how to report it on the tax return.