What is a “Backdoor” Roth IRA Conversion and Should I Should Consider It?
A “Backdoor” Roth IRA conversion, in concept, is not different from a typical Roth IRA conversion. The actual conversion process is the same. The taxpayer is transferring funds from a tax-deferred traditional IRA to a tax-free Roth IRA and pays some income taxes on the amount transferred. The name “backdoor” is just an informal name […]
Traditional IRA or Roth IRA Contribution! Which is Better?
While working and saving funds for their retirement years, people have two choices for making contributions to an Individual Retirement Account (IRA). As most everyone knows, contributions can be made to Traditional IRAs (TIRAs) with pre-tax dollars. In other words, when you file your taxes, contributions to TIRAs are deducted from your annual income. Conversely, […]
