Questions tagged [ira]
In the United States, an IRA is an Individual Retirement Arrangement, a tax-deferred retirement account.
725
questions
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votes
1answer
101 views
Self-Employed near retirement needing to start a retirement account
My father is 58, with no retirement accounts. He's run a sole-proprietorship for most of his life with 0-1 employees and doesn't have too much in savings. We're exploring the options of a ...
0
votes
2answers
87 views
Best Option to Fix Roth IRA Excess Contribution For 2021
I have maxed out my Roth IRA contribution this year (2021) not knowing there was a limit due to my income. To put it simply, I only qualify for $5k and I put in $6K. The IRA has now grown to about $8k ...
4
votes
2answers
470 views
Post Tax Traditional IRA vs Normal Mutual Funds Account
I am setting up a Traditional IRA account and this will have my post tax contributions. Traditional IRA does not have any income limit but the contribution limit is $6000 (married filling jointly).
If ...
5
votes
2answers
133 views
What is the advantage of making charitable contributions (CCs) from one's IRA over just writing checks?
From time to time, I see an enthusiastic tip about how neat it is to make one's charitable contributions from one's IRA, in lieu of taking all or a part of one's RMD.
I don't see the point. The ...
1
vote
1answer
49 views
When 401K gets rolled over to a rollover IRA OR Traditional IRA gets rolled over to Roth IRA, do the stock units get preserved?
Consider a traditional 401K getting rolled over to a rollover IRA. When such a rollover happens, do the stocks and mutual funds get sold and the total sum gets transferred as cash into the new account ...
4
votes
1answer
115 views
Is it possible to to rollover 401K into an IRA account multiple times with different employers?
Say I am employed with company 'A' with whom I have a 401K account. Now, while switching jobs, I decide not to carry forward this 401K to the next employer but instead rollover this 401K I had with ...
0
votes
1answer
44 views
Net unrealized appreciation only applies to pre-tax 401k?
I just want to confirm that NUA only applies to pre-tax 401k because a post-tax 401k/ira doesn't have any taxes for withdrawals. Or am I misunderstanding something?
5
votes
7answers
3k views
What can we do when we are stuck in a conservative 401(k)?
Right now, I am working as a software contractor and my agency allows 401(k), but only in conservative investments, such as Vanguard Target Retirement 2030, 2035, or S&P 500 index fund, or at most ...
3
votes
1answer
248 views
Roth IRA conversion and income limit
If I convert some amount to Roth IRA from traditional IRA, I understand that this will get added to MAGI and I will have to pay taxes on this amount. My husband and I file tax jointly. Will this ...
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1answer
192 views
Why not solely use IRA for investing taxed income
My understanding of IRA is that withdrawing up to amount contributed does not incur tax penalty. So I can basically withdraw any amount of taxed income I contribute. It just seems like too good to be ...
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votes
6answers
5k views
Is there a case against having an IRA?
I am in the United States and I earn an income in the range of $200k/year. I am single with no kids and generally keep my overhead expenses low (car is paid off, my housing cost is very reasonable, ...
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vote
0answers
16 views
Net Unrealized Appreciation (NUA) on Rollover scenario
Finding this as maybe the closest match, to the scenario, I also find that this and this strongly suggest that NUA rules only apply to Employer stock purchases. In other words, if I work for Acme, ...
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vote
1answer
110 views
Transferring deceased owners IRA to my inherited IRA
I am liquidating a deceased owners IRA (I am executor).
I have opened an Inherited IRA at another institution.
Institution1 has to sell the stocks, open an Inherited IRA for me. I have to initiate ...
23
votes
11answers
6k views
What is so good about IRAs?
I still don't get what is good about IRAs. For example, in a traditional IRA when you deposit you won't have to pay tax but when you withdraw you still have to pay taxes. So you only benefit if you ...
0
votes
1answer
107 views
Converting Portion of 401K Rollover Traditional IRA to Roth IRA
I have a 401K (Pre Tax) plan rollover to a personal Traditional IRA. I also have a Roth IRA account. Currently, I do not contribute to the 401K plan, since it was from a previous employer. I do ...
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vote
2answers
126 views
Best Time for Back Door Roth IRA Contributions
I want to contribute to Roth IRA but due to income limits I cannot. I am already have a Traditional IRA account with funds in it. I can move certain amount to ROTH IRA as a backdoor contribution. My ...
1
vote
1answer
56 views
Return of excess 401k contributions after rollover to IRA
Suppose the following:
Contribute $50,000 to pre-tax 401k
401k grows by 5%
401k is rolled over to traditional IRA
What is the proper course of action to return the excess 401k contribution? What ...
5
votes
1answer
593 views
What happens to investments inside a 401(k) when rolling it over?
Suppose a 401(k) contains mutual fund investments and is linked to a brokerage account holding various stocks, ETFs, mutual funds, etc.
What happens to those investments should the 401(k) be rolled ...
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votes
2answers
136 views
What does "retirement" mean in (ira) account?
ira is abbreviation for (Individual Retirement Arrangement), what I don't understand: what is the relation between (retirement) word and a brokerage account? or does this word have different meaning ...
0
votes
1answer
50 views
Does the amount converted over from traditional to roth-ira count towards the contribution limits for that year?
IRS has contribution limit of $6000 ($7000 for 50+ individuals) for any given year for contribution to IRA account. Say in a given year, a person decides to convert $3000 from his/her traditional IRA ...
0
votes
2answers
67 views
Is there an upper limit to amount of money a person can contribute to a traditional IRA if he is okay making a non tax deductible contribution?
Consider a person who wants to contribute $50,000 to his traditional IRA account per year. Now I know there is a limit of $6000 for tax deductible amount you can contribute to an IRA every year. But ...
0
votes
1answer
32 views
Is partial amount allowed to be converted/rolled over from traditional to roth-IRA?
Say a person has $50,000 in his/her traditional IRA account. Now due to
Now he wants to transfer part of it say $10,000 into a roth-IRA account. Is such a partial roll over to roth-IRA possible?
Also ...
0
votes
1answer
34 views
Will a traditional IRA account's capital gains incur annual taxes, if a person's income is above the limit for tax deductible IRA contributions?
Say a person's income is above the limit of making a tax deductible contribution to a traditional IRA account. If he/she still decides to make a contribution of say $6000 per year to a traditional IRA ...
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votes
1answer
135 views
Does a company allow its employees to roll over their 401K money to an external IRA account while being employed?
If a person want's to transfer his/her 401K money to an external traditional IRA account (say Chase) while he is still employed at the company, will his company permit that? The employee might wanna ...
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vote
2answers
73 views
Will rolling over my 401K into a traditional IRA have any tax consequences if modified adjusted gross income (MAGI) is above the IRS income limits?
I currently have a 401K account from my employer. I have had this account for the past 4 years. I wish to have better control over my investments made in this retirement account, so I am considering ...
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vote
1answer
84 views
Is loss disallowed after wash sale involving IRA, but rebought in traditional brokerage first?
I've read horror stories about someone selling stock A for a loss in a traditional brokerage and rebuying the stock in an IRA. Their basis in their IRA does not ever adjust and they cannot ever ...
2
votes
2answers
95 views
How to move non-deductible traditional IRA contributions to Roth IRA?
I made 3 non-deductible contributions to my traditional IRA account in 2019, 2020, and 2021. Instead, I should have contributed the money to Roth IRA. What would be the best way to fix this?
Here is a ...
0
votes
1answer
72 views
If I don't plan to sell the stock until age 60 or 65 in USA, is it exactly the same in a regular account vs an IRA or 401k account?
With the limitations of how much money we can put in IRA, Roth IRA, or 401(k) account, I just thought, what if we plan to buy the stock and know we won't sell it until age 60 or 65, when our income ...
6
votes
2answers
998 views
Is it more difficult to cash in an IRA with multiple funds?
If my Roth IRA has contributions to multiple different funds will it be any more difficult to get the money out when it's time to retire? Would I just sell each of the funds and close the account or ...
0
votes
0answers
45 views
IRA contributions income limit [duplicate]
I never calculated my MAGI, but I don't have any student loans, educational expenses or anything like that for that matter. I just claim standard deduction every year.
My net income this year is going ...
4
votes
3answers
253 views
Consolidate Rollover IRA into my Roth IRA
I have a Rollover IRA from 2016 and I want to move that money into my Roth IRA account.
Can I just sell and transfer that money to the Roth IRA with no penalties (no taxes)?
Also, that wouldn't count ...
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0answers
32 views
Tax-free (or low tax) investments for US citizen residing in the UK?
I am a US citizen residing in the UK (long-term, possibly including in retirement). My spouse is also a US citizen, and my children have dual citizenships.
Are there any investments available to us ...
1
vote
1answer
94 views
do the covid-based rules affect when you inherit an IRA?
Given that a traditional IRA owner that died in 2019 (at 95) and had multiple beneficiaries (all people), normally the rules states that the inherited IRA would have to be inherited by all of the ...
1
vote
1answer
53 views
Rolling over funds from a traditional IRA into an Individual 401(k) to avoid the pro-rata rule
I expect that in 2022, my income will exceed the deduction limits for a traditional IRA, so any contributions I make to it will be non-deductible. My understanding is that once I make a non-deductible ...
2
votes
1answer
49 views
Are 401k and IRA contributions reduced for new, part-year, US residents?
Suppose I move to the US partway through the year and start working. I will file a dual-status tax return. My employer offers a 401k plan and I want to contribute as much as I am permitted. I ...
1
vote
2answers
107 views
Is 401(k) plan without any matching like an IRA?
I might take a software contracting job, and the agency has a 401(k) plan, but just 0% matching.
But it seems a little bit weird: what does it mean, is it a way for us to put more money in than an IRA ...
1
vote
1answer
61 views
If I quit my job, will I be able to deduct IRA contributions if I file jointly for 2020
I'm working on filing my 2020 taxes (married filing jointly) and realized that I will owe about $5000 due to reducing 401k contributions last year.
I researched and found that it may be possible for ...
1
vote
1answer
40 views
Overpayment at time of 401k withdrawal, during 2020
If, during 2020, one did an early withdrawal funds from a 401(k) and/or IRA, and one elected for extra withholding (above its final tax rate), when would that get returned? Is it handled with the tax ...
3
votes
3answers
219 views
Is a backdoor ROTH IRA contribution still worth it if I have pre-tax IRAs that I can't rollover to a 401k yet?
Starting this year, I can no longer contribute to my ROTH IRA. I have three other IRAs:
A rollover IRA (pre-tax), opened in 2020 when I rolled over an old 401k.
A SIMPLE IRA (pre-tax), opened in 2020 ...
2
votes
1answer
265 views
Can a Non-Working Spouse with Only Social Security Income Contribute to an IRA?
In the United States, if a man over 50 retires and has only Social Security income---yet his wife continues to work an earns income in excess of $14,000 can the couple still contribute $14,000 ($7,000 ...
3
votes
1answer
59 views
Contribution to rollover IRA in 2020
I am retired and rolled over my 401(k). My husband has earned income for 2020. And he has retirement plan in his work. We already contributed $7000 each to Roth IRA.
Can I contribute another $7000 to ...
0
votes
0answers
30 views
IRA to IRA Roth "Recharacterization" vs "Conversion", is there a difference in result?
Let's assume this simplified case:
At the beginning of 2020, there is no money in my IRA. I contribute the maximum amount allowed (for me 7k$, because I'm old) from after-tax money, and next day ...
0
votes
0answers
41 views
Is there going to be a penalty waiver for IRA withdrawals in 2021?
If a person is having a hard time in 2021 and he is under 59.5 decides to take a withdrawal from his IRA, under current law he is subject to a 10% penalty. Now congress is debating another COVID ...
2
votes
2answers
84 views
I cannot do Traditional IRA. But I can contribute to Roth IRA. Can I do the non deductible IRA at the same time?
I am not eligible for Traditional IRA this year (2020). But I am still under the limits for Roth IRA. I will contribute to Roth IRA in full. I heard that there is a Non-deductible IRA. Can I do the ...
16
votes
5answers
5k views
When I retire, should I really pull money out of my brokerage account first when all my investments are long term?
Preparing to retire and I've looked at a lot of info on the internet and it all says the same thing: pull money out of your high taxed brokerage account first so you leave all that tax deferred money ...
2
votes
4answers
116 views
Does a traditional IRA actually save you capital gains tax?
A traditional IRA is tax deferred, meaning you will pay ordinary income tax on withdrawals once you are at least 59 1/2 years old.
My question is that since you are paying taxes upon withdrawal and ...
3
votes
1answer
104 views
Is my understanding of the different types of IRAs correct?
I have been getting a bit confused by the variety of IRA accounts available to me and want to check that my understanding of each is correct, in a general sense (ignore complexities like 5 year rules, ...
2
votes
3answers
127 views
Should I rollover my Fidelity 401(k) to a Vanguard IRA?
I'm leaving a job where I have a Fidelity 401(k). I plan to rollover my Fidelity 401(k) into an IRA after I leave the job.
I like Fidelity. But most of my portfolio is invested in Vanguard ETFs, and I ...
1
vote
2answers
28 views
can I move a rollover IRA account with bought stocks, mutual funds from one company to another?
Somebody told me I can move my rollover IRA account from one financial company to another. I am wondering can I do this with existing investments? I have bought some stocks and mutual funds in my ...
2
votes
1answer
98 views
Can a Roth 401(k) be transferred somehow to a Roth IRA if younger than 59.5-year-old and not leaving one's job?
I understand that:
A Roth 401(k) may be rolled over to a Roth IRA if older than 59.5-year-old or if leaving one's job.
It is possible to do in-service distributions from an after-tax 401(k) to a Roth ...
