Pro Rata Rules
Hello,
For purposes of the pro rata rule that applies to IRA distributions and Roth conversions when after-tax IRA contributions have been made, do you know if balances in SIMPLE 401ks would be part of the pro rata calculation?
Thank you.
Permalink Submitted by Alan - IRA critic on Fri, 2024-01-05 21:17
SIMPLE and SEP IRA balances would be included, but not a SIMPLE 401k.
Permalink Submitted by David Mertz on Fri, 2024-01-05 21:17
A SIMPLE 401(k) is not an IRA so it would not be included on line 6 of Form 8606.