Can I Convert My Whole 401(k) to Roth IRA? | YMYW Podcast

by | Sep 8, 2022 | Roth IRA

Can I Convert My Whole 401(k) to Roth IRA? | YMYW Podcast




Question: (Lester from Tacoma, WA) I drive a Ford Bronco and I drink Coors Banquet Beer. I recently resigned from my employer and I have $200,000 in my traditional tax deferred 401K. I am struggling to determine if I can directly transfer these dollars into a Roth IRA and pay the tax. Finding the answer is complicated because I also have $750,000 in a traditional tax deferred IRA that includes $50,000 of after-tax contributions (basis). If I can simply move my 401K to a Roth IRA and not deal with the non-taxable basis in my traditional IRA, it will make life simple. I hope this makes sense- if it does not, Joe can make fun of me. Thank you!!! Love the show and the humor.

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