In plan 401k conversion to Roth
If I understand the new rules correctly let’s use this example. A 40 year old has a 401k with 100 k in it. He can now ,if the plan is amended, convert that 100k into a Roth in the plan. Is that correct. Also what if the above plan is a profit sharing plan In which all the money was put in for the participant. Can he convert that as well????
Permalink Submitted by Alan - IRA critic on Sat, 2013-02-16 18:33
If the plan adopts both a Roth option and an in plan conversion option, the balance could be converted. Some plans may include certain restrictions if they choose to. Once an amount is converted, it cannot be recharacterized like a Roth IRA conversion can.