Proposed Tax Changes to Close Backdoor ROTH
Looks like the days of the backdoor ROTH and conversions may be coming to an end soon for high income earners. In particular the 401k after-tax contribution mega backdoor ROTH may end for all. That impacts me
"The bill also prohibits all employee after-tax contributions in qualified plans and prohibits after-tax IRA contributions from being converted to Roth regardless of income level, effective for distributions, transfers, and contributions made after Dec. 31, 2021"
https://www.thinkadvisor.com/2021/0...d-hike-for-large-iras-curb-on-backdoor-roths/
Looks like the days of the backdoor ROTH and conversions may be coming to an end soon for high income earners. In particular the 401k after-tax contribution mega backdoor ROTH may end for all. That impacts me
"The bill also prohibits all employee after-tax contributions in qualified plans and prohibits after-tax IRA contributions from being converted to Roth regardless of income level, effective for distributions, transfers, and contributions made after Dec. 31, 2021"
https://www.thinkadvisor.com/2021/0...d-hike-for-large-iras-curb-on-backdoor-roths/