c*******d
发帖数: 353 | 1 I have a question about ROTH IRA conversion. I can't contribute to R. IRA
directly because of income level.
Basically this is what I am doing,
1. open new Traditional IRA and fund it with 5500
2. convert this T IRA to my Roth IRA, full amount, without any fed/state tax
withheld because this 5500 is taxed money without gain/loss.
Does this loophole still work? Will there be any tax penalty?
Thanks |
f*******n
发帖数: 12623 | 2 Yes it works. I have never heard of anyone with any problems with this.
Waiting a few days in between might be wise though.
Make absolutely sure you have no existing money in Traditional IRAs. If you
do, it will not work the way you think.
Note that $5500 is the limit for 2013. If you are contributing for 2012 (you
can still contribute for 2012 until April 15), the limit is $5000. |
c*******d
发帖数: 353 | |
a******o
发帖数: 7982 | 4 I am confused. Tradition有tax deduction亚，如果convert from T. IRA to Roth
IRA, 在报税的时候，还可以report buy $5000 T. IRA, 有这个tax deduction马？
还是说根本就不用report了？因为把这个纪录为after tax的行为了？
you
you
【在 f*******n 的大作中提到】
: Yes it works. I have never heard of anyone with any problems with this.
: Waiting a few days in between might be wise though.
: Make absolutely sure you have no existing money in Traditional IRAs. If you
: do, it will not work the way you think.
: Note that $5500 is the limit for 2013. If you are contributing for 2012 (you
: can still contribute for 2012 until April 15), the limit is $5000.
|
M**Y
发帖数: 431 | 5 I converted a vanguard traditional ira to roth last year. Can I contribute
more money to the same traditional ira again this year and then convert that
money into the same roth ira account?
you
you
【在 f*******n 的大作中提到】
: Yes it works. I have never heard of anyone with any problems with this.
: Waiting a few days in between might be wise though.
: Make absolutely sure you have no existing money in Traditional IRAs. If you
: do, it will not work the way you think.
: Note that $5500 is the limit for 2013. If you are contributing for 2012 (you
: can still contribute for 2012 until April 15), the limit is $5000.
|
f*******n
发帖数: 12623 | 6 他估计根本就不能deduct Traditional IRA（一般的情况是他公司有401k，所以要收入
很低才可以deduct Traditional IRA。而他的收入已经高到不可以contribute Roth
IRA了。）而且他的目的本身就不是去deduct Traditional IRA，而是convert到Roth
IRA。既然他不deduct Traditional IRA，就当然不在税表上扣这个收入；但是，他要
填Form 8606去报这个non-deductible Traditional IRA，才可以convert的时候免税。
【在 a******o 的大作中提到】
: I am confused. Tradition有tax deduction亚，如果convert from T. IRA to Roth
: IRA, 在报税的时候，还可以report buy $5000 T. IRA, 有这个tax deduction马？
: 还是说根本就不用report了？因为把这个纪录为after tax的行为了？
:
: you
: you
|
f*******n
发帖数: 12623 | 7 I think so.
that
【在 M**Y 的大作中提到】
: I converted a vanguard traditional ira to roth last year. Can I contribute
: more money to the same traditional ira again this year and then convert that
: money into the same roth ira account?
:
: you
: you
|
r*******n
发帖数: 1739 | 8 Make absolutely sure you have no existing money in Traditional IRAs.
can you comment on what to do with the existing traditional IRA? thanks
you
you
【在 f*******n 的大作中提到】
: Yes it works. I have never heard of anyone with any problems with this.
: Waiting a few days in between might be wise though.
: Make absolutely sure you have no existing money in Traditional IRAs. If you
: do, it will not work the way you think.
: Note that $5500 is the limit for 2013. If you are contributing for 2012 (you
: can still contribute for 2012 until April 15), the limit is $5000.
|
E******w
发帖数: 2616 | 9 You call this a "loophole"?
tax
【在 c*******d 的大作中提到】
: I have a question about ROTH IRA conversion. I can't contribute to R. IRA
: directly because of income level.
: Basically this is what I am doing,
: 1. open new Traditional IRA and fund it with 5500
: 2. convert this T IRA to my Roth IRA, full amount, without any fed/state tax
: withheld because this 5500 is taxed money without gain/loss.
: Does this loophole still work? Will there be any tax penalty?
: Thanks
|
f*******n
发帖数: 12623 | 10 Some 401k plans allow you to rollover the Traditional IRA into the 401k. But
other than that, there's nothing you can do.
【在 r*******n 的大作中提到】
: Make absolutely sure you have no existing money in Traditional IRAs.
: can you comment on what to do with the existing traditional IRA? thanks
:
: you
: you
|
r*******n
发帖数: 1739 | 11 thanks
But
【在 f*******n 的大作中提到】
: Some 401k plans allow you to rollover the Traditional IRA into the 401k. But
: other than that, there's nothing you can do.
|
t*m
发帖数: 4414 | 12 haha.
IRA itself is a loop hole.
【在 E******w 的大作中提到】
: You call this a "loophole"?
:
: tax
|
