Under new rules that took effect in 2010, you can convert a traditional IRA into a Roth IRA no matter what your income is. If the conversion turns out to have adverse tax consequences, you'll have plenty of time to reverse the whole transaction, but only
While the above rules outlining when to make a Roth conversion may seem like the decision is a simple process, the reality is a little more complex. That’s because determining which point in time has the lower tax rate requires actuallycalculatingthe individual’s current and e...
I made a voluntary after-tax contribution in early 2022 for the 2021 tax year, and then also made the conversion into my roth IRA in early 2022. As the plan administrator for my solo 401k, I am completing my 1099-R this year since the conversion was done in 2022. I’m not sure if...
You must enter the contribution in that “January 1, 2022 through April 18, 2022” box because that’s what you actually did. I’m guessing your displayed refund changes because you had entered a conversion (maybe erroneously, maybe unrelated to this backdoor Roth). At first the software th...
Updated on June 29, 2022 Reviewed by Anthony Battle Fact checked by Rebecca McClay In This Article View All In This Article Photo: Thomas Barwick / Getty Images Roth IRAs are retirement accounts that allow your savings to grow tax-free, but there are some limitations on how and when you ...