It’s Now Or Never For Backdoor Roths

The clock may be ticking on backdoor Roths. The latest proposal (under a House of Representatives bill submitted on November 19, 2021) would eliminate both the regular backdoor Roth and the mega-backdoor Roth next year for everyone, regardless of income.

Roth IRA contributions are subject to income limits. For 2021, a Roth contribution cannot be done when income exceeds $208,000 (for those who are married and filing jointly) or $140,000 (for a single person).