Questions tagged [roth-ira]
To be used for questions related to Retirement Tax saving scheme Roth IRA as applicable in the United States
665
questions
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When a stock held in an IRA takes a downturn, is that a good time to move that asset to a Roth IRA?
I have some traditional IRA funds invested in QuantumScape, and it's down quite a bit since the initial purchase. I want to continue to have some holdings in the company. Would this be a good time to ...
1
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2answers
141 views
How to choose between Roth IRA and Traditional IRA
I have been contributing to Roth IRA for several years now. At this point my income have jumped up so I cannot contribute to Roth IRA anymore, unless I use the backdoor. Currently, my tax rate is 24%. ...
4
votes
2answers
1k views
Roth vs. investing a taxable account [duplicate]
What is the benefit of Roth IRA in comparison to putting the money in a taxable account (stocks or MFs)?
3
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2answers
115 views
What year AGI applies to Roth IRA contribution limits?
I would like to make my Roth contribution for 2022 as early in the year as possible. There are contribution limits based on Adjusted Gross Income. None of the sources I've read made it clear if it's ...
0
votes
1answer
52 views
How should I schedule pulling money from investments for home purchasing?
I'm getting married this year, after some delays for reasons you can probably guess. Afterwards -- so in six months or so -- we are hoping to buy a home. Of my money, roughly a third of it is in cash ...
1
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1answer
73 views
I'm working for parents for money for Roth IRA. What docs might be needed to support it as earned income?
I'm 58 years old, and living at home with my parents. I do some things to help them out, but they are being a bit generous to let me stay in an addition that my grandmother built on to their house. ...
2
votes
1answer
109 views
Re-characterization of Roth IRA to Traditional IRA Form 8606
I just successfully completed my re-characterization of Roth IRA to traditional IRA. I contributed $6000 to Roth IRA. The re-characterization took those $6000 + gains and put them in Traditional IRA.
...
3
votes
2answers
401 views
ROTH IRA Contribution (Income Too High) How will I know about penalty?
I am currently looking into 2021 Tax and arranging all the documents. I contributed $6000 (myself) and $6000 (spouse) for Roth IRA contributions. Now I am calculating my income for 2021 Tax and it ...
1
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0answers
61 views
IRAs for US citizens who are non-US residents [closed]
I am a US citizen residing in the UK (for the long term). I understand that I can legally invest in a Roth IRA; however, it seems very difficult to actually open one that will allow me to do so with a ...
3
votes
2answers
283 views
can I retroactively make a Roth contribution based on an amended 2020 return?
In 2020, wife and I filed separately. She was unable to make an IRA contribution (a deductible one, at least) due to being highly-paid and covered by a retirement program at work, and I was unable, ...
3
votes
1answer
118 views
What can be withdrawn from a Roth IRA without penalty before 59 1/2?
I know that contributions (dollar amount equal to what was directly contributed to the Roth IRA) can be withdrawn tax-free and penalty-free at any time, and that earnings on those contributions will ...
3
votes
1answer
154 views
Do employers typically match the contributions you put in proportionally?
My employer goes through Transamerica for our retirement accounts, and it allows us to split up our contributions between a 401k and a Roth account. Since there is a limit to the Roth contributions ...
0
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2answers
96 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 ...
3
votes
1answer
196 views
"High Income Earner" savings / investment options
After 7 years in my profession, I'm finally in a high paying position. I was reminded recently that I needed to be "accumulating wealth", which got me to reading articles. One of the things ...
1
vote
1answer
54 views
Can I withdraw my contributions from a Roth IRA early without penalty even if they were rolled over from a Roth401k?
I understand that both Roth 401k and Roth IRA accounts allow withdrawing contributions prior to age 59/12 without penalties.
But today I heard someone say that I should NOT roll over my Roth 401k to a ...
1
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1answer
51 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
117 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 ...
3
votes
2answers
509 views
What Income is the Roth IRA Income Limit Based On
Background: Last year I was making well under the Roth IRA income limit, but after some raises and bonuses this year, I'm starting to toe the line with the income limit.
I've done some research and ...
3
votes
1answer
179 views
I contributed to my and my spouse's Roth IRA when she was unemployed. Now she has a job and we will exceed the income limit. What to do?
Back in January 2021, my spouse was unemployed and our joint income for 2021 was (expected to be) less than $198,000. Thanks to that, I contributed $6,000 to my own Roth IRA and
$6,000 to the Spousal ...
0
votes
0answers
28 views
American Roth IRA, moving abroad
If I set up a Roth IRA in America, can I take out money from it in the future if I'm living outside of the US?
5
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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 ...
2
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1answer
57 views
Recharacterized 2 years of Roth IRA Contributions - how much to invest through Backdoor?
I have mistakenly been contributing to a Roth IRA for 2020 and 2021 while my adjusted gross income (AGI) exceeded the 120k limit.
Therefore, I called Vanguard to recharacterize my contributions to my ...
8
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4answers
802 views
Can I open a Roth IRA AND get to choose what companies my money is getting invested into?
In my experience with investing in IRAs, it seems like you just tell the people that you want to retire in (insert number of years), tell them how risky you're willing to be with your money and then ...
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2answers
144 views
Automated/Least Painful Backdoor Roth IRA + Nuanced Questions
As quick background, I'm an expat that has been living abroad for the past 8+ years, and have been and continue to be ineligible to contribute to an old Roth 401k that I still possess with my previous ...
2
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2answers
229 views
Can I pay my baby an income to max out a custodial Roth IRA without paying/filing taxes for him?
I made a huge income jump from a career move right after having a baby. I do not want to do any lifestyle creeping and would rather put this money to work with compound interest. I'll already be ...
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2answers
124 views
Can I contribute to my Roth IRA in December and then again in January?
I haven't started my Roth IRA yet, have been procrastinating.
So hypothetical question, say I get around to doing it in December, can I make the maximum contribution all at once in that month, and ...
9
votes
5answers
6k views
Company with high match for 401K vs IRA, which to choose?
I am fortunate to be at a company with a pretty high 401K match, 50% with no cap.
Normally when I've saved in the past, I've done the 401K up to the amount matched, and then chose other savings ...
0
votes
1answer
71 views
A Complicated Question regarding Roth IRA and backdoor
So here is the scenario.
I have 600K in 401K Rollover Traditional IRA (Pre-Tax)
I have 30K in Roth IRA
I want to contribute to Roth IRA but my income is too high. If I take part of money every year ($...
0
votes
1answer
66 views
Can rolling over a Defined Contribution Plan to a Roth IRA make investment earnings tax-free while avoiding Roth contribution limits?
My employer offers a Defined Contribution Plan (DCP) where I can contribute after-tax earnings. Investment earnings grow tax-deferred. There is an option to roll over DCP (after-tax) contributions to ...
0
votes
1answer
113 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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2answers
133 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 ...
0
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1answer
37 views
Can you fund your Traditional IRA after rolling it over to Roth IRA?
The Traditional IRA has a $6,000 limit per year. If I
Step1: Transfer 6k to Traditional IRA
Step2: Roll over entire 6k to Roth IRA
Can I transfer additional 6k to Traditional IRA because Traditional ...
1
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1answer
718 views
Roth IRA and pre-IPO shares
With the recent news that a billionaire managed to get several billion dollars in a Roth IRA by funding it from pre-IPO shares of his company, I'm curious about how this works. Ignore for the moment ...
0
votes
1answer
52 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 ...
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1answer
123 views
How much of my 401(k) should I roll over to a Roth IRA to pay the least taxes?
I am 61 yrs old want and I want to start rolling over my 401K to a Roth-IRA account. How can I figure out how much money I should roll over in order to pay the least taxes? Through a google search, I ...
0
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1answer
33 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
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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 ...
0
votes
1answer
64 views
Are there any penalties or tax consequences if an person decides to take money out of a Roth IRA account prematurely?
Say a person has a Roth IRA account. Now the money in the Roth IRA account is already post-tax contributions. However, say the person has made a significant capital gains on their Roth IRA investments....
2
votes
2answers
93 views
Are there annual salary limits to be eligible to contribute to a ROTH IRA account in US?
I am planning to contribute to a ROTH IRA to have a better control on my tax free trading. However I need to know as a single person, if there are certain salary limits to be eligible to make ...
1
vote
1answer
49 views
Contributing to Roth IRA using previous tax year earnings
I am currently a student and I maxed out my Roth IRA contribution for 2020, but I still have “left-over” income saved. Given that I have not yet earned any taxable income for 2021, can I use these ...
1
vote
2answers
101 views
What tax forms have to filed when doing a rollover from After-tax 401(k) to Roth IRA?
What tax forms have to filed when doing a rollover from After-tax 401(k) to Roth IRA? Examples appreciated.
0
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0answers
35 views
Possible to do rollover from a solo Roth 401(k) to Roth IRA?
I'm self-employed and thinking of opening an individual Roth 401(k) account with TD Ameritrade. I would max out the employee contribution immediately and not bother with the employer match (since the ...
1
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0answers
43 views
What are the rules regarding early withdrawal of contributions from a Roth IRA after a rollover from a solo Roth 401(k)?
Plan
Open a solo Roth 401(k) (I'm self-employed) and contribute roughly $50,000 during the first year
Wait some amount of time, if necessary?
Rollover the Roth 401(k) into my existing Roth IRA
...
2
votes
2answers
114 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 ...
2
votes
1answer
80 views
Are there IRS limits for 401k to Roth IRA rollovers?
I am 61 years old and I have two 401k plans from former employers. I want to roll over these 401k plans into a single Roth IRA account over a period of time in several intervals. I would like to know ...
0
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1answer
80 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 ...
1
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0answers
50 views
401k or Roth IRA for non treaty countries
This might be a bit complicated, so pretty please bear with me a little.
I am currently living in USA on a E2 visa.
My employer offers both 401k and Roth IRA.
I do not plan to neither retire nor ...
2
votes
2answers
256 views
How do you show that "you did not live with your spouse at any time during the year"?
My wife and I will be filing separate tax returns this year. Since I made more than $10,000 modified AGI during 2020, this would normally mean I am ineligible to contribute to a Roth IRA. However, due ...
2
votes
1answer
172 views
Roth IRA Conversion and taking money out
A person who is over 59.5 years of age has an traditional IRA worth 1 million dollars and no Roth IRAs.
On Monday, he converts the traditional IRA to a Roth IRA. On Tuesday, due to an unexpected ...
6
votes
2answers
999 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 ...
