ROTH CONVERSION FROM A SEP?
I believe that starting in 2008, you can convert directly from a 401(k) to a Roth IRA. Can you convert directly from a SEP IRA to a Roth IRA?
Thanks,
Ed Lustberg
I believe that starting in 2008, you can convert directly from a 401(k) to a Roth IRA. Can you convert directly from a SEP IRA to a Roth IRA?
Thanks,
Ed Lustberg
Permalink Submitted by Denise Appleby on Wed, 2008-06-18 00:16
Hi Ed,
Yes. An easy way to remember this is to think of a SEP IRA as a traditional IRA with a little something extra- technically- the SEP is just a traditional IRA to which employer (SEP) contributions are made. As such, the same conversion/distribution rules that apply to traditional IRAs apply to SEP IRAs
Permalink Submitted by Alan Spross on Wed, 2008-06-18 00:21
Ed,
Yes, but this is nothing new. You could convert from a SEP or SIMPLE IRA to a Roth since 1998.
Permalink Submitted by Edward Lustberg on Wed, 2008-06-18 00:38
Thanks,
I was 99.99% sure of that. I just wanted to be 100% sure.