limit on 401k to Roth IRA transfer
I am 67 and have a 401k with my employer that allows in-service partial transfers to IRAs. Is there a limit to how much I can transfer from my 401k to a Roth IRA in any given year? I know the transferred amount is taxable.
Permalink Submitted by Alan - IRA critic on Sat, 2020-04-04 14:47
There is no IRS limit, but there could be a plan limit so you would have to check with your plan. Otherwise, you would just have to be aware of how much additional taxable income is created by these rollovers since you are also still working. You could end up in a higher bracket.
Permalink Submitted by Paul Newton on Sat, 2020-04-04 15:37
Thank you Alan-iracritic@…. That is comforting to know. There is no limit in the 401k on withdrawal transfers. Also, I’ve been transferring an amount sufficient to cover the difference between our income and the max income for our tax bracket.