Backdoor Roth IRAs are a frequently-discussed topic on physician blogs and social media sites. But most conversations assume you understand basic investing concepts that many novice investors don’t. I’ve written this post as a reference guide for anyone who needs help with the mechanics on how to set up a backdoor Roth IRA. Continue reading
backdoor Roth
When to Convert to a Backdoor Roth IRA
Few doctors and other HIPs (High Income Professionals) qualify to contribute directly to a Roth IRA. In 2017, you are prohibited from doing so if:
- MFJ – your AGI (Adjusted Gross Income) is above $196k
- MFS – your AGI is above $10k
- Single – your AGI is above $133k
The workaround is to contribute to a nondeductible (“n/d”) TIRA Continue reading
The Pro-Rata Rule for Backdoor Roth IRA’s
There is no bigger proponent of Roth IRAs than yours truly. If compound interest is the 8th wonder of the world, tax-free growth inside a Roth IRA is, to me, the 9th. My blog post, Explaining Backdoor Roth IRAs, remains our most popular post ever (by a long shot) and for good reason Continue reading
Answers to Roth IRA quiz
So, did you take our Roth IRA quiz? Here are the answers – there are 14 points in all because the last questions counts 2. Continue reading
Roth IRA Quiz
You may have your own Roth IRA, but how well do you know the rules? Continue reading
When should I NOT convert to a backdoor Roth IRA?
You should not put money in a backdoor Roth if: Continue reading
What is a backdoor Roth IRA?
A back-door Roth IRA is a maneuver that allows High-Income Professionals (HIPs) to Continue reading
When should I convert to a backdoor Roth IRA?
There is a lot of confusion between timing for IRA contributions and back-door Roth Continue reading
Tips for backdoor Roths
Here are a few steps you can take to simplify your annual backdoor Roth conversion Continue reading
What to do with an old 401k part 2
When you change jobs, you can take one of 4 actions with your 401k: roll out to an IRA, roll Continue reading
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