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  2. Ask an Advisor: If I Use a Backdoor Roth Conversion, Does ...

    www.aol.com/ask-advisor-backdoor-roth-conversion...

    Now she wants to convert $25,000 to a Roth IRA. Using the pro-rata rule, the nontaxable portion of that conversion would be $6,250 (25% x $25,000), and the rest would be added to her taxable ...

  3. Backdoor Roth IRA: What it is and how to set one up - AOL

    www.aol.com/finance/backdoor-roth-ira-set-one...

    Use a reverse rollover to avoid the pro rata rule If your employer’s 401(k) plan allows you to roll IRA money into it, you can move your deductible IRA contributions and pre-tax earnings into ...

  4. Earning $200k This Year? Discover How a Roth Conversion ... - AOL

    www.aol.com/200k-backdoor-roth-avoid-taxes...

    Finally, any Roth IRA is subject to the IRS’ pro-rata rule. This rule applies when you have both a pre-tax IRA and a post-tax Roth IRA. In that case you must take all withdrawals proportionally ...

  5. Roth IRA conversion: Here’s everything you need to know ...

    www.aol.com/finance/roth-ira-conversion...

    Beware the pro-rata rule on conversions If you have traditional IRA accounts with deductible contributions, you’ll need to factor that in if you convert any nondeductible amounts into a Roth IRA.

  6. Backdoor Roth IRA: What It Is, Tax Implications and How To ...

    www.aol.com/backdoor-roth-iras-build-back...

    A backdoor Roth IRA lets high-income earners convert after-tax traditional IRA funds to Roth IRA for tax free growth. Learn the process and tax implications. Backdoor Roth IRA: What It Is, Tax ...

  7. Do note that due to a pro-rata rule, if you have other money inside a Traditional IRA, you might face a higher immediate tax burden on a backdoor Roth IRA than you would on a direct contribution ...

  8. How to Use a Mega Backdoor Roth Conversion - AOL

    www.aol.com/mega-backdoor-roth-conversion...

    Everyone qualifies to make backdoor Roth IRA contributions using after-tax funds you contribute to a traditional IRA and then roll over to a Roth IRA. Note that the pro-rata rule also applies here. 3.

  9. Watch Out: This 5-Year-Rule Could Affect Your Roth ... - AOL

    www.aol.com/doing-roth-rollover-beware-5...

    The Roth IRA has been called "the Swiss Army knife" of personal finance because of its flexibility and the tax-free status of its earnings. That's the reason so many retiring workers move to roll ...

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