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Roth Contribution question
Old 10-24-2018, 04:11 AM   #1
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Roth Contribution question

For the last 5 years before I retired, I had been happily taking advantage of the ability to put in $6500 to both DW and my Roth IRA accounts. This year, without thinking, I put in the same, then I realized (probably after reading something here), that with no W2 income I could not contribute. So I had Fidelity help me undo my contribution (DW will have about $12K of W2 income).

Next, two things happened. First, I remembered that I did receive a bonus check from my 2017 employment that will look like W2 income, in the amount of $3000. Next, we met with our Fidelity rep yesterday, and he said that I could have still done my $6500 because, since we file jointly, our total W2 income will exceed the $13K combined amount needed.


Does anyone else agree that this is the case? If so, I will put back in my $6500, but at a minimum, I will put in my $3000.


Thanks,


Bood
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Old 10-24-2018, 05:14 AM   #2
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Quote:
Originally Posted by BoodaGazelle View Post
For the last 5 years before I retired, I had been happily taking advantage of the ability to put in $6500 to both DW and my Roth IRA accounts. This year, without thinking, I put in the same, then I realized (probably after reading something here), that with no W2 income I could not contribute. So I had Fidelity help me undo my contribution (DW will have about $12K of W2 income).

Next, two things happened. First, I remembered that I did receive a bonus check from my 2017 employment that will look like W2 income, in the amount of $3000. Next, we met with our Fidelity rep yesterday, and he said that I could have still done my $6500 because, since we file jointly, our total W2 income will exceed the $13K combined amount needed.


Does anyone else agree that this is the case? If so, I will put back in my $6500, but at a minimum, I will put in my $3000.


Thanks,


Bood
Yes ..... https://www.fool.com/retirement/2016...good-idea.aspx

https://www.rothira.com/one-job-two-roths
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Roth Conversion questions
Old 10-24-2018, 05:19 AM   #3
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Roth Conversion questions




Thanks... just making sure!
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Old 10-24-2018, 06:10 AM   #4
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Quote:
Originally Posted by BoodaGazelle View Post
.............................. So I had Fidelity help me undo my contribution (DW will have about $12K of W2 income).

.................................................. ....................

Does anyone else agree that this is the case? If so, I will put back in my $6500, but at a minimum, I will put in my $3000.

Thanks,

Bood
Yes, just make that you actually did undo the contribution (not just withdrew
$6500). You should have withdrawn $6500 + earnings for a valid undoing of this yrs contributions. If not done properly the 2nd contribution
could be an excess contribution.
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Old 10-24-2018, 06:28 AM   #5
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Yes, I agree.... between your DW's $12k of earned income and your $3k, you can each make $6,500 contributions.
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Old 10-24-2018, 06:30 AM   #6
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Could a mod fix the title? This is a Roth Contribution question, not conversion.
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Old 10-24-2018, 06:32 AM   #7
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Could a mod fix the title? This is a Roth Contribution question, not conversion.
Thread title changed.
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