Pro Rata Rule clarification
The pro rata rule applies if a person makes a non-deductable contribution to an ira and converts after tax funds with pre tax funds. However, this would not apply if a person made a deductable ira contribution to an ira with preexisting pre tax funds and converted to a roth ira, correct?
Permalink Submitted by Alan - IRA critic on Mon, 2025-04-21 21:46
Correct. Pro rating only applies when there is basis in any of your non Roth IRAs from non deductible contributions.