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Simplifying Roth IRA Conversions: Planning Tips For You To Consider

The advantages are tempting: you don’t have to pay taxes on the proceeds from your Roth investments, nor are you required to withdraw them in retirement, as you are wi.

Backdoor Roth IRA: How It Works and How to Open One

Backdoor Roth IRA: How it works and how to open one

Zero Single, head of household, or married filing separately and you did not live with your spouse at any time during the year $125,000 $125,000 but $140,000 Reduced amount Zero If your income is too high to contribute to a Roth, going through the backdoor can be your way in, since the IRS does not limit who can convert a traditional IRA to a Roth IRA. These accounts can be opened at banks and brokerages that offer IRAs. If your retirement plan is part of a 401(k) offered by an employer, the associated financial services company can also help you navigate the logistics.

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