Over contributed to my roth ira in 2024 Any suggestions? Turbotax says to sell the amount I over contributed and pull it from my roth. Im under 50 so according to turbotax the limit is $7,000 i didn’t realize i went over the cap $4,617.53 robinhood 2550.24 Fidelity 7,167.77 i contributed do i just sell a little and pull like 200$ out to not get a 6% penalty every year? submitted…

Withdrew 10k from Trad IRA to purchase First home This past year I withdrew 10k from a traditional IRA to purchase my family’s first home. I have not done any additional paperwork – but I’ve gathered that there is at least one form that is required. Is it too late to attempt to avoid the early withdraw penalties? I understand I’ll owe income tax on the 10k, but trying to avoide the extra 1k on …

Should I get a Roth IRA? I’m 20, I know absolutely nothing at all about personal finance, investing, and I barely know what taxes are. I’ve only filed taxes once using TurboTax, and I’m barely making any money–buuuut– I was curious if I should make a Roth IRA account at the bank? I’ve been hearing that it’s a good idea if I ever plan on retiring, but every single vide…

Roth 401K plus Roth IRA I am 39 and finally hit a point where I can max both a 401K and IRA. I just got an 18k/yr bump and I’m saving every bit of it. It’s going to bring my current contribution levels up to max w/ enough left over to keep the HSA looking healthy. My understanding is that the benefit of Traditional IRA/401K’s is you can invest more money now thanks to …

401K to IRA withdrawal If I transfer my 401K to a IRA can I withdrawal the money before I turn 59? submitted by /u/rancidgoatcrust

I think I screwed up my IRA I feel like a bit of a dummy, but here goes… I had been using betterment for an IRA to complement my 401k etc. It had around 7k. I converted it to a Roth and then did an indirect rollover to my bank as they had a promotion. This was January 2025. As I was doing my taxes I realized I was above the income threshold and needed to take out my exces…

Contributed to Roth IRA but over MAGI max Hi – This was my first year being over the MAGI max. I contributed the $7k during 2024 and realized during my taxes that I was above the income limit. I re-characterized funds by transferring them from my Roth IRA to my traditional rollover IRA account. Is there any other step I should take to optimize this? Am I ineligible to do a Backdoor R…

Father in law converted Traditional IRA to Roth IRA and he’s retired and is 70YO I haven’t game this out, but it was pointless though, right? Since his tax bracket is already set in retirement? Conceivably, he was in a lower tax bracket when he was working. Mostly cash business and didn’t claim all his income. But if he’s in a higher tax bracket now when taking distributions and collecting social security, did it make sense…

Fund a roth IRA with a traditional IRA I have a traditional ira that i funded with my work 401k.i will be 70 years old soon. I was thinking of getting a roth ira and use the money i take out of the traditional IRA to fund it. Is this a good idea? submitted by /u/Dependent_Order_3173

Roth 401k vs Roth IRA. Are there benefits to investing in both? I am a small business owner and just opened up a solo traditional and roth 401k. I also have a Roth IRA. I wont be able to max out my 401k this year. What would be the downside of putting the 7k dedicated for my Roth IRA into my Roth 401k? Are there unique advantages to the Roth IRA over the Roth 401k? submitted by /u/sideout25 …

Is having both my Roth IRA and 401k in FXAIX too risky? Have 15k in Roth IRA and 20k in company 401k. Most of my 401k is in a target date fund and just recently switched to 100% in FXAIX to play catch up until a get closer to retirement. I’m 29 and feel a little behind. submitted by /u/zeewst

401k to IRA taxes, backdoor Roth Moving 401k to IRA and taxes: I have the opportunity to move Traditional 401k (100k) and Roth 401k(20k) to Traditional IRA and Roth IRA. I also invested 7k to Roth IRA back door for 2025 (move from Traditional to Roth 401k). Fidelity who holds my 401k says if I move my 401k to IRA, they might tax the entire Traditional 401k since I didn’t one tr…

IRA rollover into 401k Looking for some guidance to make sure I am taking the correct steps for the situation I am in. I currently have both a Traditional IRA and a Roth IRA. The traditional IRA was opened several years ago and I maxed it out for one year so there is a minimal balance less than 10K. I have a Roth IRA that I have maxed out for the past 3 years. I now m…

Roth IRA for a dummy I’m 29 years old and have no investments. I know very little about personal finance but I do know that saving my pennies made off of my hourly wages won’t get me where I want to be down the line. I understand that a ROTH IRA seems to be a safe bet for a retirement fund and I want to get one going. I’m considering using Robinhood but in truth I d…

Rolling over pension into Roth IRA Hey All! If I get a check from cashing out an old pension and want to roll it into my Roth IRA, does that count towards the yearly limit? Also, how does the IRS know that it’s a pension? For something like a backdoor Roth, you have to fill out form 8606, is there something similar for doing this with a pension. Thanks! submitted by /u/Rea…

Would you ever treat a Roth IRA like secondary emergency/savings? I was wondering about the theory of this for an average earner. I trickled into my Roth for a while and now I’ve got more average income and I’m going to sometime switch to more 401k and HSA savings in the 22% bracket. But does anyone use the Roth to have $X to simply avoid tax? If I know I want a new car in ten years… why not save it in a Rot…

Does it make sense to contribute to Roth IRA if you have multiple cancers? I’m 52 male. No family. I have enough nest eggs to afford $8,000 a year Roth contribution for 2024, and then whatever is allowed by IRS for 2025 and so forth. I have colon cancer and lung cancer. I seem asymptomatic to date, and doctors don’t know for sure what stage my cancers. If I contribute to Roth, can I withdraw 1) principal and/or 2) inte…

Guidance for 401k and Roth IRA funds First Time investor here and looking for tips. I’m just getting around to investing this year and would to get some guidance on mutual funds/stocks that you all prefer. Currently have a 401k that my employer matches at 3% to my 6%. It is currently investing in Putnam Retirement Advantage 2055: X. I’ve read that it may be wise to look into the St…

Late Roth IRA conversion? I do not have a 401k and my IRA accounts are through Wealthfront. I contributed $6912 into my Roth IRA for 2024, but didn’t realize I was ineligible until I received my W-2 a few days ago. Hoping to correct my mistake, I was doing a lot of research about performing a backdoor Roth. 1) I opened a traditional IRA – it required $500 to open an acco…

Should I contribute to my Roth IRA I currently have a Roth account with Schwab as last year I was able to contribute a small amount (1k?) but this year I’m over the income limit. I heard about the backdoor Roth IRA recently but I’m not sure if it’s something I can do myself or it has to be offered by my company. I’m also not certain if it’s worth doing. I’m 26 with around 300k sa…