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IRA conversion
Old 06-29-2016, 08:54 AM   #1
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IRA conversion

I have not contributed to an IRA for the past few years because our AGI is over 181K. I can participate in a traditional but I get no tax relief. If I participate now on a traditional and then later (when my AGI drops) I want to convert to ROTH, what would my taxes be? Zero since this money was already after tax? I am maxing my 401K. My company does not offer a ROTH 401K.
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Old 06-29-2016, 09:17 AM   #2
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As I understand it, if you have a mix of deductible and non-deductible contributions then if you do a Roth conversion the distribution would reflect that mix and a portion of the conversion amount would not be taxable. IIRC this is measured across all your IRAs so you can't sidestep it by having separate deductible and non-deductible IRAs and only converting the non-deductible IRA account.
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Old 06-29-2016, 09:28 AM   #3
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can't you set up a backdoor roth and put in 13K a year (assumed married) even with your agi and other qualified plan benefits?
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Old 06-29-2016, 09:46 AM   #4
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Back door ROTH it is. I found that thread and that looks like the way to go. I have a small traditional from years ago. Thanks
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