Back Door Roth IRA timing
Hi. A client has done the back door IRA; using the nondeductible IRA and has funded that for 2019; we now want to convert it to the Roth IRA, but does that have to be done by April 15th of this year? Thank you!
Hi. A client has done the back door IRA; using the nondeductible IRA and has funded that for 2019; we now want to convert it to the Roth IRA, but does that have to be done by April 15th of this year? Thank you!
Permalink Submitted by Alan - IRA critic on Wed, 2020-04-08 17:13
A conversion can be done anytime. Normally it would be done right after making the ND contribution or recharacterization from a Roth contribution to a TIRA as that would allow the earnings to be generated in the Roth. But if client’s contribution has lost ground, there is less of a rush to convert.