Quote:
Originally Posted by JoeWras
2018.
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Ok, so this rule applies:
OVER AGE 59.5*
LESS THAN FIVE YEARS SINCE OPENING FIRST ROTH IRA*
Contributions: Tax-No ;Penalty-No*
Conversions: Tax-No; Penalty-No (Taxable Portion)*
Conversions: Tax-No; Penalty-No (Nontaxable Portion)*
Earnings: Tax-Yes; Penalty-No*
Go ahead and roll the 401k Roth to your Roth IRA. The earnings in the 401k Roth after you did the conversion count as earnings in the Roth IRA. Not a big deal. You can withdraw any and all contributions and conversions tax and penalty free. Since the earnings come out last, just keep them in there until 2023 when they will also be tax and penalty free.
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