IRA conversion to Roth and Contribution
[color=blue]Hi All,
If I was to make a 2007 IRA to Roth conversion, can I still make a 2007 Roth contribution, up to the limit?
Thanks in advance!
Rob [/color]
[color=blue]Hi All,
If I was to make a 2007 IRA to Roth conversion, can I still make a 2007 Roth contribution, up to the limit?
Thanks in advance!
Rob [/color]
Permalink Submitted by Alan Spross on Fri, 2008-12-19 20:34
I assume this question relates to what you actually did in 2007, since it is too late now to affect 2007. But yes, doing a Roth conversion does not limit your ability to make a regular Roth contribution. A 100,000 income limit applies to the conversion (not counting the conversion itself), and for regular Roth contributions in 2007, you could make a full contribution if your modified AGI was below 99,000 if single, or 156,000 if you are married filing jointly.
If by chance you did not qualify for one or both of the above, it is too late now to correct it by the usual method. A 6% excise tax would be incurred for 2007, and the contribution would have to be removed prior to 12/31 to prevent another 6% tax for 2008.
Permalink Submitted by charles lore on Sat, 2008-12-20 22:29
Alan wouldnt April 15 , 2008 have been the last date on which he could have made a 2007 Roth contribution?
Permalink Submitted by Alan Spross on Sat, 2008-12-20 23:17
Yes.
I was not sure if he already did this and someone questioned doing both, or if he meant 2008 instead of 2007.