Understanding Roth IRA Rollovers for 401(k) Employer Matches

Reported 4 days ago

This article explains that individuals can roll over their 401(k) employer matching funds into a Roth IRA, along with their contributions and earnings, allowing for tax-free withdrawals and avoiding required minimum distributions (RMDs). However, converting these funds incurs income tax obligations, which can elevate tax liabilities, especially for large balances. It emphasizes the importance of consulting a financial advisor to navigate the complexities of Roth conversions and the potential impact on retirement planning.

Source: YAHOO

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