Am I too late in the ROTH Hello l’m a 41 year old man, my wife is 36 and our income is $130,000 | just opened Roth IRAs for my wife and I. We each have $16,000 in our ROTHs, invested in 70% FZROX and 30% FTIHX, we have $50,000 in a high yield savings, I have $350,000 in a annuity from work that I contribute $14,000 a year with a 3% interest, I will receive a $3500 a mont…

Roth IRA contributions to 403(b) My organizations open enrollment period just opened and I noticed something new in the benefits. “Roth IRA Contributions: Employees now have the option to make additional Roth (post tax) contributions to the 403(b) plan. The limit on annual contributions is $7,000.” Is this a mega backdoor Roth? I already plan to contribute the max ($23,500) to …

Solo401k + Solo Roth401k + SEP IRA + Roth IRA? My accountant can’t seem to answer this question and I have to say – I’m completely confused. Can I contribute to a solo 401k and solo Roth 401k — as well as to a SepIRA, regular IRA and/or Roth IRA. Or do I have a single limit for ALL contributions based on my 1099 income (about $110k for 2024). (follow up question: would a Roth conversion ch…

401k or Roth 401k? High but variable income I am new (and late) to thinking of financial planning and taking personal finance seriously. I enrolled into my company 401k plan 5 1/2 years ago and haven’t really thought much about it until now. My company matches up to 3% and offers a 401k and Roth 401k option. I have personal savings but aside from this 401k I have no other retirement or i…

401k vs Roth 401k employee retirement I make around 109k a year base pay with 30k worth of bonuses so 24% tax bracket near the end of the year. At age 26 should I be putting 12% into Roth or 401k. I feel that my portfolio has a lot of room to grow which makes me want to lean towards Roth due to my age and compound interest. Am I wrong to think this way? Let’s hear some opinions dow…

Roth / Post-Tax Contributions Recently was presented with this scenario and I’m hoping Reddit can help. Thanks All! Scenario: 1. Contributed the maximum amount in a 401(k) from a private job. 2. Income limit is too high for a Roth IRA. 3. Own a small business with two Solo 401(k), one is Roth and one is Traditional. 4. Emergency fund, HSA, and non-retirement accounts are all…

Combined contribution to Roth IRA, Roth 403b, and HSA is more than earned income Couldn’t find an answer to this online, so thought I’d just ask. In 2024, maximum combined contribution to HSA ($4,150), Roth IRA ($7,000), and Roth 403B ($23,000) is $34,150. If “Jim” has earned income of $30,000, can he still max HSA / Roth IRA / Roth 403B with say, money in his saving’s account? It’s confusing because thought individually, “J…

Backdoor ROTH for SAHM spouse? Hi, folks. I am the sole breadwinner in our family, and I am covered by a workplace retirement plan. I am contributing to a backdoor Roth since my IRA contributions are non-deductible. It looks like my wife’s spousal IRA contributions are ALSO non-deductible since the source of contributions comes from a job covered by a workplace retirement p…

Roth IRA vs opening 401K Okay so I current have a Roth IRA I currently fund myself. I have a non traditional care of full time nanny. I have salary and some benefits like PTO but I don’t have a 401k yet. The family just asked me if I would like them to open and contribute to a 401k or just help contribute to my current Roth IRA. Is there an advantage to opening a 401k? …

Roth IRA to Traditional IRA back to Roth IRA This was my first year investing in an IRA and I maxed out my Roth IRA. I just learned because of a bonus from work that I am earning over $240k between my wife and I and we not allowed to contribute to a Roth IRA for 2024. I am under the impression that I can recharacterize my Roth contributions including my gains into a non deductible traditi…

Roth IRA – over limit So I think I’m over the salary limit this year for a Roth IRA. I have had Auto deposit of $200 per month in Fidelity. What should I do at this point? What are the ramifications if you’re over the limit and depositing in Roth? submitted by /u/dyl8888

401k traditional or Roth HELP! 25(F) am looking to start retirement planning my job offers both traditional or Roth options with matching up to 4%. I make 85k with yearly raise, bonus and at entry level with options for multiple promotions and increases in salary as years go on. What should I open ? How much should I place in % wise to maximize results. submitted b…

Backdoor Roth vs 401K My wife and I expect to exceed the Roth IRA income limit next year, so I’m looking ahead and trying to decide the best way to save for retirement moving forward. Right now, we both max out our Roth IRAs, and I max out my traditional TSP, and my wife contributes 10% to her traditional 401k. From my understanding, contributing to a traditional IRA…

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…

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…

Taxed twice on Roth contributions I recently withdrew $3700 from my roth IRA- all contribution money, no earnings, so should not have been subject to tax. My tax withdrawal settings were automatically set at 15% (10% federal, 5% state) and I forgot to manually enter 0% when I went to make the withdrawal. $555 ended up being withheld, so my contributions were essentially taxed tw…

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…

Should I convert to Roth? Hey guys, just wanted to ask if converting makes sense in my situation. 7 k roth, funded this year 4k traditional funded last year, fully deducted 80k annual income started in May this year. Moved to Virginia, not sure if I will stay in Virginia though. I think this might be important because virginia has 5.9 % state income tax. And regardless, …