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
If you did a Backdoor Roth, which involves making a non-deductible contribution to a Traditional IRA and then converting from the Traditional IRA to a Roth IRA, you must report both the contribution and the conversion in the tax software. For more information on Backdoor Roth in general, se...
That’s the deadline for contributions to a traditional IRA, deductible or not, and to a Roth IRA. If you have a Solo 401k, Keogh or SEP and you get a filing extension to October 15, 2025, you can wait until then to put 2024 contributions into those accounts. To start tax-free ...
I have used Turbo Tax for years and so this year they were asking questions about if we owned Traditional and or Roth IRA’s. My husband and I each have both so we responded yes. We were trying to find information on the web platform about whether this pertained to workplace sponsored...
1. For the megabackdoor, do you also enter anything in the >Deductions&Credits< Traditional IRA and Roth IRA seection (as you would in a regular backdoor)? 2. My 1099-R also included a significant distribution from 401k to Traditional IRA at another institution. I’m 60, so that withd...
You may want to consider converting your traditional IRA to a Roth IRA. Unlike a traditional IRA, converted amounts from a Roth IRA typically don’t incur federal income taxes on qualified distributions, provided that: A minimum of five years has passed since your initial Roth IRA contribution...
tax people struggled with my questions about my traditional 401k to roth ira conversion. Overall I have been very disappointed with TurboTax this year. Not sure why TurboTax has been so highly rated by various tech mags and such. Did they actually use it. Do they test the software with ...
“If you pay an IRS or state penalty or interest because of a TurboTax calculation error, we’ll pay you the penalty and interest.” In most cases, you can e-file — at least, for your federal return. But you always have the option to print your return and file it by traditional ma...
or you can “explore on your own”. If you already understand the basics of the tax code, that's a real shortcut. I don't use Turbotax because I don't know what's deductible. I use it to speed up the process and make it more accurate. But either way, Turbotax has an option fo...
You can use the funds to purchase or augment a Roth or traditional IRA, which sequesters your money away for when you’re no longer on the job. At that point, you’ll probably be grateful that you had the foresight to save for retirement rather than spend it on something you’d have...