A backdoor Roth IRA conversion is a way of funding a Roth IRA account with a traditional IRA conversion instead of a direct contribution. People with relatively high incomes are unable to directly contribute to a Roth IRA. In 2018, the limitation starts at $120,000 for single taxpayers and $189,000 for married filing jointly. To get around this issue, they can make a … [Read more...] about 4 Things to Know About Backdoor Roth IRA Conversions
Tax Strategies
Avoid Tax Consequences With a Direct 401(k) Rollover
If you've ever left a job where you had 401(k) or similar retirement plan, you've probably received a letter from the plan administrator outlining the different options you have and their tax consequences. This document is pretty straightforward from the perspective of a tax professional or someone who works in the retirement space, however, for those without this level of … [Read more...] about Avoid Tax Consequences With a Direct 401(k) Rollover
Tax Reform Is Here!
The Tax Cuts and Jobs Act was signed into law on December 22, 2017. The Act brings one of the most significant changes to the tax law in recent history. Most provisions of the act are now in effect, and they will have a substantial impact on a lot of areas of your financial and tax planning. Here are just a few highlights: Significant changes in tax bracket ranges … [Read more...] about Tax Reform Is Here!