Tweet
I didn't roll my traditional IRA into a Roth last year. :x
How would I calculate the amount of money lost when I get taxed on the lump sum if I convert it to a Roth via back door? My tax rate is 39.6% and the traditional IRA sits at about $6200. Would I end up losing about $2400 in taxes from 2015 addition when I roll my 2016 contribution of $5500 into a Roth?
What would the best way to go about this situation?
How would I calculate the amount of money lost when I get taxed on the lump sum if I convert it to a Roth via back door? My tax rate is 39.6% and the traditional IRA sits at about $6200. Would I end up losing about $2400 in taxes from 2015 addition when I roll my 2016 contribution of $5500 into a Roth?
What would the best way to go about this situation?
Comment