2023年2月17日 · Long story short, there was a push from the mid-late 1980s to cut the capital gains tax. The Roth IRA was part of a broader compromise that allowed for capital gains tax free growth (which the Republicans wanted) while providing some government income and encouraging retirement savings (which, from what I'm reading, had bipartisan support).

2024年5月4日 · This year, I contributed the maximum amount to my Roth IRA ($7000) for 2024 - my income has never been high enough to hit any potential limits (and I didn't know there was one at the time). My AGI as it stands right now falls in between the limits for a reduced contribution for 2024, but I'm not exactly sure what that amount is.

2024年1月13日 · Roth is a tax treatment, not a type of account. You are mixing up IRAs and 401ks. Your 401k max is $23000 + $7500 catch up, your IRA max is $7000 + $1000 catch up. Typically, if you can afford to max your 401k, you make too much money to deduct pre-tax contributions to an IRA, so you would use a Roth IRA.

2021年10月20日 · Yes load your Roth IRA for the full $6,000 every year if you can especially since you cant participate to your company 401k Until you are 21. Also you can use you Roth IRA contributions AND up to $10,000 in gains (if you get that much) towards a first time home purchase after you have a ROTH for 5 years.

2022年8月17日 · Open an account with Fidelity, Schwab, or Vanguard. Adults need adult brokerage firms. Basically you open 2 accounts, a Traditional IRA and a Roth IRA. You add money into the TradIRA, without investing, after a few days, you convert (transfer) the money into the RothIRA and invest it. The process litterally tales like 10 mouse clicks and 5mins.

With the market at (or nearly at) an all time high, does it make sense to contribute the maximum to your Roth IRA on January 1st? I guess, how often does the market see it’s lowest value at the start of the year for the next ~15.5 months?

Move from traditional IRA to Roth IRA. There is no limit on traditional IRA to Roth IRA transfers. You can transfer as much as you want. But there is a limit on how much to contribute to Traditional IRA (e.g 7k for 2024). Mega Backdoor to Roth IRA if your employer supports after tax 401k to Roth IRA rollovers (either in-plan or out-of-plan or ...

The backdoor roth ira was an accident that circumvented the income limit for direct roth contributions. Once it became widely known and used, the IRS greenlit it so that people didn't need to worry about whether it was technically illegal in some sneaky way.

1)Recharacterize your excess and interest to a traditional IRA 2)If you have no traditional IRA from 2015, convert the entire balance back into a Roth IRA 3) If you do have a traditional IRA, either pay the early withdrawl penalty and put the money …

2022年12月10日 · There is a earnings limit, so not everyone can contribute to these individual accounts. You can always contribute to Traditional IRAs, up to the $6500 IRA limit. The earnings limit is to be able to claim the tax deduction, and it's limited based on your income and generally only if you have access to a 401k. Additionally, there are currently legal loopholes that allow …