How to Handle Exceeding the Income Limits for a Roth IRA!

What To Do When You're Over the Roth IRA Income Limits! Take Your Finances to the Next Level ➡️ Subscribe now: Download FREE Financial Resources from the show ➡️ Sign up for the Financial Order of Operations course ➡️ Our professional focus is on financial planning and investment management, and we leverage our knowledge for your benefit. We help you focus on the things you can control and manage the things you can’t. Visit our site for more info ➡️ Facebook: Instagram: Twitter: Let’s make sure you’re on the path to financial success - then help you stay there! The Money Guy Show takes the edge off of personal finance. We’re financial advisors that believe anyone can be wealthy! First, LEARN smart financial principles. Next, APPLY those principles! Then watch your finances GROW! We can’t wait to see you accomplish your goals and reach financial freedom! New shows every week on YouTube and your favorite podcast app. Thanks for coming along on the journey with us....(read more)

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LEARN MORE ABOUT: IRA Accounts
INVESTING IN A GOLD IRA: Gold IRA Account
INVESTING IN A SILVER IRA: Silver IRA Account
REVEALED: Best Gold Backed IRA

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If you're earning too much money and are over the Roth IRA income limits, you may be thinking there's no way to take advantage of the benefits of a Roth IRA retirement account. That's certainly not the case, though, and there are several routes you can take when dealing with this issue. First and foremost, it's important to ensure you're actually over the Roth IRA income limits before making any changes. For the 2021 tax year, individuals earning over $140,000 and married couples earning over $208,000 are ineligible to contribute directly to a Roth IRA. If your income exceeds these limits, you'll need to explore alternate options. One option is to contribute to a traditional IRA instead. Although there are income limits when it comes to deducting contributions from income taxes, there are no limits on the amount you can contribute each year. You can then convert the traditional IRA funds into a Roth IRA using a process known as a "backdoor" Roth IRA conversion. To execute a backdoor Roth IRA conversion, first transfer funds from a traditional IRA into a Roth IRA. Depending on your situation, you may need to pay taxes on the converted amount. However, once the funds are in the Roth IRA, they can grow tax-free and be withdrawn without penalty after age 59 1/2. Another option is to consider a SEP IRA or a Solo 401(k). Both of these retirement accounts have higher contribution limits than a traditional IRA or a Roth IRA, which can be especially beneficial for high earners looking to save large sums of money for their retirement. However, it's important to note that contributions to these accounts are typically deductible, meaning you'll pay taxes on the withdrawn funds in retirement. Finally, it's worth exploring other investment options outside the realm of retirement accounts. For example, you can consider investing in a brokerage account or pursuing real estate or business investments. These investments can offer the potential for growth and returns over time, even if they're not included under the umbrella of a tax-advantaged retirement account. In summary, if you're over the Roth IRA income limits, there are still several options available to you for retirement savings and investment. While traditional IRAs and backdoor Roth conversions can be viable options, it's important to consider other investment strategies as well. By considering all your options, you can work toward a secure and comfortable retirement regardless of your income level. https://inflationprotection.org/how-to-handle-exceeding-the-income-limits-for-a-roth-ira/?feed_id=98708&_unique_id=6465c96351d42 #Inflation #Retirement #GoldIRA #Wealth #Investing #budget #buystock #buyinghouse #cash #compoundinterest #creditcard #debt #howtomakemoney #insurance #moneyguyshow #personalfinance #realestate #save #success #WhatToDoWhenYoureOvertheRothIRAIncomeLimits #VanguardIRA #budget #buystock #buyinghouse #cash #compoundinterest #creditcard #debt #howtomakemoney #insurance #moneyguyshow #personalfinance #realestate #save #success #WhatToDoWhenYoureOvertheRothIRAIncomeLimits