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Roth IRA Conversions (3+ Reasons to Consider Them NOW in 2020) | Tax Tips | Bogart Wealth

Learn all about Backdoor Roth IRA's and more here in this video, where we also go over: Saving in Tax-Optimized Accounts Backdoor Roth IRA Contributions Roth Conversion Strategies Question and Answer How would you like to have tax-free income in retirement? Is your income too high to contribute directly to a Roth IRA? Ever wonder if there is another way to get savings into tax-free accounts? Based on IRS Notice 2014-54, retirement plan participants may consider the “Mega Backdoor Roth” strategy as a means to maximize savings in a tax-free account. This strategy allows high-income earners, typically not eligible, the ability to move money into a Roth IRA account. In addition, it allows individuals to contribute substantially more than the standard Roth IRA contribution limit. The savings and tax-free growth can be substantial, especially for those in high tax brackets and those planning to retire prior to age 59 1⁄2. Tax-Deferred vs. Tax-Free So, you’re already saving t...