Note that your employer doesn't have to let you make the extra contributions.I will turn 50 towards the end of 2025(that feels like a strange thing to type!). I wanted to make sure that I was reading the IRS rule correctly.
If I understand it correctly, I can contribute up to $31k in 2025 over the course of the calendar year, and I do NOT have to wait until my 50th b day in Q4 of 2025.
I can contribute $7k to a Roth IRA plus the $1,000 catch-up. I assume the same rules apply to the backdoor Roth IRA.
Am I understanding this correctly? Thanks!
(that feels like a strange thing to type!). I wanted to make sure that I was reading the IRS rule correctly. Also, do be clear, while you can contribute $8000 to an IRA, you can't contribute $8000 to a Roth and $8000 to an IRA that you would use for the backdoor process.
Statistics: Posted by exodusNH — Wed Feb 12, 2025 12:02 am — Replies 9 — Views 745