In this video, I will talk about how to contribute to the Backdoor Roth IRA (step-by-step) for high income earners through both the Charles Schwab and fidelity brokerage platforms. I’m going to cover 3 steps 1) transfer money into traditional IRA 2) convert from traditional IRA to Roth IRA 3) invest your money (to be addressed in future videos if people are interested).
Caution: be aware of the pro-rata rule if you have money in both Traditional and Roth IRA.
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LEARN MORE ABOUT: IRA Accounts
INVESTING IN A GOLD IRA: Gold IRA Account
INVESTING IN A SILVER IRA: Silver IRA Account
REVEALED: Best Gold Backed IRA
Don't forget to contribute your Roth IRA for 2020 before May 17th, 2021. Leave me a comment if you have any questions!
When can I invest the money? As soon as it’s available in my Roth?
Thanks!
Thank you! I wish there was a big "backdoor Roth IRA" button, but alas, it was so hard finding how to start. This video absolutely cleared it up. Thank you so much!!
Great info! And you're so close to the 1k mark!! wohooo
Great insight.
If I contributed $6000 backdoor Roth IRA in 2020, same year, I also converted $10K from Traditional IRA to Roth IRA. At the end of the 2020, I have zero balance in IRA account. Will this Traditional IRA $10K conversion to ROTH trigger pro-rata rule? This is the first year I did Backdoor ROTH, will my form 8606 line 2, line 6 and line 7 fill as $0 and line 8 is $16K ($6000+$10k)? Thank you.
Nice video, this is a really important topic for many people. I have a 401k from an old employer that I will be rolling over to a traditional IRA then to my Roth soon, so I will need to do something similar with that.
Can you open traditional ira and Roth IRA if you’re self employed? Both or only which one?
In order to contribute to Roth IRA Backdoor, do you need to have traditional Roth IRA? Is traditional Roth IRA for regular employment or also self employment as well? What if you are self employed? Here, you go over Charles Schwab and fidelity, is it possible in vanguard?
Thanks for this! I had wondered if you needed to open a new traditional acct every year. Great step-by-step!