60 Day rollover of Roth <5 years
Been doing back door roth for my wife’s account since 2010. Can we “borrow” from the Roth for 45 days and put it back with no harm? Normally, that works, but worried about the $35k put in over the past 5 years….or does the 60 day rollover rule give us a free pass?
Permalink Submitted by Alan - IRA critic on Tue, 2021-02-09 19:12
If she receives a distribution and rolls it back within 60 days, there is no tax or penalty and the Roth is restored it’s status before the distribution. However, the one rollover limitation applies for 12 months. Does she have a rollover available? If yes, then she could do the 60 day rollover but would then be locked out from doing another one for the next 12 months.