Backdoor ROTH IRA Strategy

We are in "Tax Strategy Overtime"!

What's that?

It's a term that I think I made up...

but it refers to the short period of time from 1/1/23 to 4/18/23...

that you can use your current year (2023) profits...

...to fund 2022 tax & retirement strategies!!

There are NOT many of these strategies available right now.

However, one that is important is the IRA (Individual Retirement Account)!

Most people know of the ROTH IRA and the "Regular" Traditional IRA.

You may know that I speak very highly of the ROTH IRAs!

HOWEVER, the challenge with the ROTH IRA, is that you if your income goes too high...

...you become INELIGIBLE to fund the ROTH IRA!

Don't worry though!...there are ways around that!

You might be able to use a "Non-Deductible" IRA. 

Basically you are putting money into an IRA...do NOT take a tax deduction...

...and this is VERY IMPORTANT...

...then you can potentially roll that money into a ROTH IRA! (a.k.a Backdoor ROTH strategy)

MAJOR DISCLAIMER:

Not everyone can do this strategy...because for some this will trigger major taxation for violating what is known the "Pro Rate Rule"

I will not dive into that. But if this strategy intrigues you, reach out to a qualified financial professional so they can walk you through the process and see if you are eligible for this strategy.

So...if you are making over $200K per year...

this might be a strategy to consider for your "Tax Strategy Overtime"!

If you are justing hearing about this for the first time...reply back to this email. 

Have Tax Strategy Questions?? Click here to schedule a 15 minute call.

My team can help you with this and all your tax needs!

Best

Pat

Disclaimer: This is meant to be educational ONLY.  This is NOT advice for your specific situation.  Please consult a qualified Financial and Tax professional before making changes to your retirement plan strategies.