Hi there,
This seems too simple to be true. I have too high a salary to contribute to a Roth (400k+, married filing jointly). I also have ~300k of rolled over/deductible IRA from a prior job.
My company allows me to roll IRAs into my 401k (yes, the reverse of normal!).
Following this 300k rollover, and given that I’ve maximized all tax-deferred accounts; if I have money left over, isn’t it a no-brainer to stick at least 16k (8K each for DW and me, both of us are over 50) into a non-deductible IRA and convert it immediately to a Roth? I’m paying taxes on that 16k anyway but future growth will be protected.
Is this plan duh obvious or am I missing something?
Auro
This seems too simple to be true. I have too high a salary to contribute to a Roth (400k+, married filing jointly). I also have ~300k of rolled over/deductible IRA from a prior job.
My company allows me to roll IRAs into my 401k (yes, the reverse of normal!).
Following this 300k rollover, and given that I’ve maximized all tax-deferred accounts; if I have money left over, isn’t it a no-brainer to stick at least 16k (8K each for DW and me, both of us are over 50) into a non-deductible IRA and convert it immediately to a Roth? I’m paying taxes on that 16k anyway but future growth will be protected.
Is this plan duh obvious or am I missing something?
Auro
Statistics: Posted by Auro — Tue Jan 02, 2024 3:04 am — Replies 0 — Views 73