Reported 2 months ago
In a backdoor Roth conversion, individuals over the income limit for direct Roth IRA contributions can convert a traditional IRA to a Roth IRA without being taxed twice. While ideally, the conversion from a nondeductible traditional IRA should not incur taxes, complexities arise based on individual situations, especially involving the pro-rata rule. It's essential to consult with a financial advisor to navigate these intricacies and maximize retirement benefits.
Source: YAHOO