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IRAs and Roth IRAs
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Re: IRA to Roth IRA conversion

Does this mean that regardless of our income, we can convert our nondeductible IRAs to ROTHs from now on??

Re: IRA to Roth IRA conversion

Yes, it's my understanding that until the rules change, you can contribute to a traditional IRA each year (as long as you have sufficient earned income), and then can immediately convert that account to a Roth IRA. There is no longer an income limitation preventing taxpayers with AGI greater than $100k from converting their IRAs to a Roth IRA.

This strategy is not as tax efficient for people who have other IRA accounts. So be careful before rolling a 401k and 403b account held at a previous employer into an IRA. Once you do that, you'll be taxed on the bulk of the money that you convert from your IRAs starting that year.

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