I've looked at information and feel comfortable doing the process since it's the first time my MAGI ever hit this high.
My question is: Can I use the funds from Traditional IRA that I make to roll over aka convert into an existing Roth IRA or do I need to make a entirely new IRA as well. And just leave my funds in my old Roth IRA instead.
Starting a back door Roth IRA
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Re: Starting a back door Roth IRA
I'm confused over how you've worded this. So let me try to break it down. You can use your existing Roth IRA to receive the funds. If you have no traditional IRA currently, then you create a new one and make your non-deductible contribution there before you roll it over to the Roth. If you DO have an existing traditional IRA with no assets, feel free to use that one. If you have an existing traditional IRA with previously deducted contributions then you'll need to pro-rate the taxes on your Roth rollover and it's probably not worth it.MattRN1990 wrote: Tue Feb 04, 2025 6:40 am I've looked at information and feel comfortable doing the process since it's the first time my MAGI ever hit this high.
My question is: Can I use the funds from Traditional IRA that I make to roll over aka convert into an existing Roth IRA or do I need to make a entirely new IRA as well. And just leave my funds in my old Roth IRA instead.
Also, review: https://www.bogleheads.org/wiki/Backdoor_Roth
Last edited by BogleTaxPro on Tue Feb 04, 2025 9:56 am, edited 1 time in total.
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Re: Starting a back door Roth IRA
Basis would be from previous non-deductible contributions.
OP, feel free to reuse or combine accounts as needed, the IRS doesn't care.
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Re: Starting a back door Roth IRA
Thanks Todd. edited my post (need more caffeine, I do).toddthebod wrote: Tue Feb 04, 2025 9:54 amBasis would be from previous non-deductible contributions.
OP, feel free to reuse or combine accounts as needed, the IRS doesn't care.
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Re: Starting a back door Roth IRA
Thanks so much for the quick reply! Glad to know I can and funnel it into my current Roth IRA I've had for 8 years.