A Safer Retirement and Environment – What We’re Implementing to Help Keep You Safe: READ MORE

Here at Asset Preservation Capital, LTD, we are adhering to state and local guidelines in order to protect both the health and safety of clients and staff. Keeping our clients and staff safe is our highest priority and we’re taking all appropriate measures to ensure a safe environment. Should you prefer to not meet face-to-face, we are continuing to serve our clients through virtual settings such as Zoom or phone call.

We look forward to continuing to help individuals and families achieve their ideal retirements.

Asset Preservation Capital, LTD
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IRA Rollovers and Roth Contributions: Today’s Slott Report Mailbag

Dec 12, 2024

By Sarah Brenner, JD
Director of Retirement Education

 

Question:

Can a person do a rollover from both his traditional AND Roth IRAs in the same twelve months?

Best regards,

Matthew

Answer:

Hi Matthew,

The once-per-year rollover rule restricts an individual from rolling over more than one IRA distribution during a 365-day period. For purposes of this rule, traditional and Roth IRAs are aggregated. If you have both types of IRAs, you can only do one rollover from either the traditional IRA or the Roth in a one-year period.

Question:

I have a 60-year-old client who has the opportunity to contribute to a Roth 401(k). Is he permitted to contribute to both his Roth 401(k) and his Roth IRA?  Are there limits?
Thanks for your help!

Linda

Answer:

Hi Linda,

To fully fund a Roth IRA, you must have earned income. Additionally, your modified adjusted gross income (MAGI) for 2024 must be under $230,000 if married filing jointly (or under $146,000 if filing single). If he meets these requirements, he can fund both the Roth 401(k) and the Roth IRA. Funding one does not affect the other.

https://irahelp.com/slottreport/ira-rollovers-and-roth-contributions-todays-slott-report-mailbag/