Roth IRA vs High-yielding savings account Context= I’m currently 17 and in college living with my parents and will turn 18 very soon. I have been trying to learn more and more about investing/banking as whole to make more money in the future. My question is how much money should go to what. I plan to open a HYSA and a Roth IRA but I’m unsure which to prioritize or if it’s even a good pl…

Trying to maximize Backdoor Roth IRA with small amount in a traditional IRA I will speak to my accountant on this but just more so I know what to expect: I currently have ~$1,500 in a traditional IRA (it’s mostly/all in single stocks) that I never deducted on since I was over the income limit. If I plan to convert this to a ROTH IRA to avoid pro rata rule for backdoor Roth IRA, I presume this will also still trigger a …

Should I contribute to my Roth IRA while waiting for 401K eligibility? I, 27M, recently left my job of 4 years to relocate and move in with in-laws to save money. I have a 401k with my last company that has a balance of $10,500. After relocating, I found a job through a staffing agency that will eventually transfer me to hire on directly with the company I am doing work for. However, because of the staffing agency …

Roth IRA investments I am a 19-year-old with a pretty decent job looking to invest in a Roth IRA. I’ve already opened an account with Fidelity and have a 401k with them through my employer and I’m wanting to know what is the best things that I should invest in and any other tips with this being the first retirement/investment account that I am running on my own. I w…

401k or Roth IRA after divorce I have had a 401k, no company match, for about 35 years. The last 2/3 years I had been putting 5% of pay into a Roth through my 401k. I recently lost the vast majority of the 401k/Roth in a divorce. I had stopped contributing since the start of separation knowing I would lose all or a large chunk. I have just started contributing again. I will p…

Traditional IRA to Roth IRA Backdoor Conversion – 26 cents in traditional Hi everyone! First time poster but long time reader. I think I have an idea of what to do from other posts, but posting to get clarification. I did a backdoor Roth conversion for the max amount a few weeks ago. My account is held with Schwab. I put in the 2024 max contribution into my traditional IRA, and the funds had to sit in the traditional …

Should I sell stocks or take money out of my roth ira? I have ~8k in savings, 15k in stocks, 1k in crypto and 20k in my roth ira. I’m 23 and only have my roth ira for about 2 years. I have no debt and am currently job hunting right now, but in case my savings are depleted and need to withdraw money, is it better to sell my stocks/crypto or withdraw money from my roth ira? Which option has less pena…

Optimizing my Rollover IRA I have $15k in a Rollover IRA from a former employer that is sitting and +30% in VTI. Ideally, I’d like to convert it to my Roth without withholding any taxes. I will pay taxes on just the $15k if/when I withdraw. Is that an option? I’m not contributing to it so I’m not sure how to approach this. Thank you! submitted by /u/New-Gas3080 …

Rolling over my 401k into an IRA Have an old 401k and i am rolling it over to a IRA. The only downsides I see is a $3 fee Which I assume I will make back with lower fees I was in 33% international 24% small cap 35% S&P 500 2.75% bond 4% target date fund I’m thinking about going 80% FZROX (total us market) and 20% FZILX (total international index fund) Any other downsides t…

Roth IRA contributions for kids I’m planning on opening a custodial Roth for my kids when they start working next year. My question is, is the amount that can be contributed based on gross or net income? Example: he makes $3000, but after tax take home is $2500. Can $3000 or $2500 be contributed? Thanks. submitted by /u/i3bpvh

IRA questions with a little bit of a long story My wife’s dad died back in April. He left everything to her and her two siblings equally, and he turned out to have a bit more than the family thought he did (I’d been telling them for years that no one really knew what he had). Anyways… From Morgan Stanley, whom he did everything with, the three siblings will all end up with money in a traditi…

Tax laws regarding a roll over from a Traditional 401k to a Roth Ira (Puerto Rico Perspective) We don’t have a Subreddit like this one for PR so I have to ask here in case someone knows. I quitting my current job (Private US Company) here in PR and I would like to roll over that money (401k) to an Roth Ira from M1 Finance. I know I will be paying taxes on the quantity (only 15k) but my doubt is if I have to pay the 10% penalty by doing t…

Registration on transferred inherited IRA My father passed away last year and I inherited an IRA account. The account was split among the heirs and with new accounts created for each of us at my father’s brokerage. I recently transferred the account from my father’s brokerage to my Vanguard brokerage. I’m trying to make sure the transfer was handled correctly and won’t be seen as a dist…

Vanguard warning for Roth IRA withdrawal Several years ago I put $5500 into a Vanguard Roth IRA. It has since grown to around $9200 (7500 invested in target date fund, 1700 sitting in federal money market settlement fund). My understanding is I can withdraw up to $5500 at any time (I’m younger than 59.5) without a penalty. However, when I go to do this Vanguard gives me this warning: “…

Roth IRA withdrawals Let’s say I open a Roth IRA and contribute the maximum possible and invest in an ETF. Now let’s say in two years I need some money, can I withdraw my money that’s in the IRA? I’m debating on whether to open a ROTH IRA or individual brokerage account. The only item that’s holding me back is that what if I need the money in a couple years. I am n…

Contribute to IRA if retired (spouse working) Contribution to IRA if retired I’m 48m and wife is 46. I’m retired now but she just started working in local school. She has never contributed to any retirement fund as she recently started working. I have 650k in 401k and IRAs. Can (and should) we contribute 6500$ EACH to IRAs while I’m retired and she is working for next 10 years so we can t…

What to do with non-spousal Inherited IRA Trying to understand what to the best strategy is on a non-spousal inherited IRA. We are of working age (not retired) and will be still working at the end of 10 year rule. We’re on year 3 of the 10 year rule and have not touched it. If we were to withdraw it now, it would just go into a brokerage account. So I think that means it should be left …

Can I deposit check meant for Rollover IRA into a Traditional IRA? I would like to rollover my 401k into a Traditional IRA. But my custodian isn’t allowing that and instead issued a check meant to be deposited into a Rollover IRA account. Since both Rollover IRA and Traditional IRAs are taxable, can I deposit the check into a Traditional IRA account for my new custodian? submitted by /u/funceval …

Other options for a Roth IRA Hi this might be a stupid question but with Roth IRA or other retirement accounts, there are penalties for taking it out before turning 59. My wife and I are most likely going to be retiring way before that and I wonder if there are any other retirement accounts we could look into that are better suited for retiring early I guess? We would stil…

Roth IRA vs. company 401(k) Hi all, just started a new position and the company offers a 401(k) with no match. I also have a Roth IRA that I’ve been contributing to separately for years. Since I won’t be in a position to max out both 401(k) or Roth IRA, wondering which of these vehicles I should use to park my retirement savings (aiming for $800/mo) in going forward? What …