Retirement Planning
Backdoor Roth IRA Pro Rata Rule Explained
The Pro Rata Rule is required when you convert a traditional retirement plan, whole or in part, to a Roth IRA and the traditional IRA has both aftertax and pretax money. The premise of the pro rata rule is to prevent higher-income earners from taking advantage of the backdoor Roth conversion without incurring additional taxes.…
Read MoreRoth IRA Contribution & Income Limits 2022
Roth IRA + Traditional IRA Contribution Limits 2022 IRA + Catchup Contribution 2021 2022 Roth IRA$6,000$6,000Roth IRA Age 50+$7,000$7,000Traditional IRA$6,000$6,000Traditional IRA Age 50+$7,000$7,000 Roth IRA Income Limits Filing Status 2022 Roth IRA Income Range 2023 Roth IRA Income Range Single$129,000-$144,000$138,000-$153,000Married Filing Jointly$204,000-$214,000$218,000-$228,000Married Filing Separately$0-$10,000$0-$10,000 Traditional IRA Income Limits Filing & Workplace Status 2021 IRA Income…
Read MoreCan you do a Roth conversion with stocks?
The Roth conversion can be done in a few different ways. The Roth IRA conversion I’m talking about here is moving stocks, bonds, ETFs, or mutual funds from the traditional IRA to the Roth IRA. While you can move property such as stocks from the traditional IRA to the Roth IRA there are a few…
Read MoreHow to start planning for retirement at age 25
In this post, I’m talking about how to start planning for retirement at age 25. So if you’re starting your retirement planning. We have you covered. And if you’re looking for the basics in retirement planning, you’ve come to the right place. Table of Contents Why Age 25? Age 25 is a starting point. It’s…
Read MoreRoth IRA Excess Contribution to tax-free Recharacterization then Backdoor Roth Conversion
Full Transcript In this video, I’m going to talk about a Roth excess contribution being recharacterized back to the traditional side as a nondeductible contribution and then back to the Roth with a backdoor Roth conversion. What’s going on, guys? Welcome back to the channel or if this is your first time at our channel…
Read MoreCan a 1099 independent contractor have a Solo 401(k)?
The short answer is yes and it depends. First, let’s clarify who we’re talking about here. If you are earning money as a side hustle, independent contractor, 1099, sole proprietor, or schedule C filers which are really all the same thing, you may be eligible based on these types of income to contribute to a…
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