Question: How can I contribute to a Roth IRA when I make more - TopicsExpress



          

Question: How can I contribute to a Roth IRA when I make more money than the allowed threshold? Easy! If you earn more than $129,000 as a single taxpayer, or $191,000 as a married couple filing jointly, then you will have to use the back-door approach into the Roth IRA. What is the back-door approach? Simply, contribute to a traditional IRA (you most likely will not get the income tax deduction) and convert the amounts into to a Roth IRA. However, you will owe taxes on the conversion, but any gain/future distribution on the Roth IRA will be tax free! For questions regarding your IRA contact Taxes in Time today, because we do more than just taxes!
Posted on: Sat, 12 Apr 2014 15:45:04 +0000

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