pro rata violation?

[Raditude]

Hi All,

I'm preparing to fund my backdoor roth IRA for 2019. Can I place $6000 into my Vanguard Federal Money Market Fund (settlement fund) today in order to have the funds available to invest on 1/1/2019? Would this be considered a pro rata violation for the back door roth for 2018 since funds would be in the traditional IRA on 12/31/2018?

thanks.

[jacoavlu]

I assume you’ve already made a 2018 $5500 IRA contribution?

Either way you cannot make a 2019 contribution until 1/1/19.

[jhwkr542]

You can't contribute more than $5500 to your IRA in 2018, so assuming you've funded your backdoor Roth for 2018, you cannot do this. Pro rata doesn't really apply.

[ENT Doc]

Just wait a month.

[Raditude]

Thanks for the replies. Will hold off transferring funds until the new year.

[Peds]

Raditude wrote:

Hi All,

I’m preparing to fund my backdoor roth IRA for 2019. Can I place $6000 into my Vanguard Federal Money Market Fund (settlement fund) today in order to have the funds available to invest on 1/1/2019? Would this be considered a pro rata violation for the back door roth for 2018 since funds would be in the traditional IRA on 12/31/2018?

thanks.

Click to expand...

nope. doesnt work that way.

we all do it jan 2nd. join the party.