I just thought of something that could also affect my concerns that hasn't been mentioned. My worry is that one year I realize I need to do a Roth conversion to increase my income above the ACA qualifying threshold and find I don't have enough in my Traditional Solo 401(k) account to convert as much as I need. Would it be possible to just, at the time I realize that, make a contribution to the Traditional Solo 401(k) for the current year and then immediately do a Roth conversion with the money I just contributed? If I am allowed to do that then some of my concern is reduced since no matter how much is in my Traditional Solo 401(k) at the time I need to do this conversion, I can put more in and convert it right then. Obviously I can only contribute as much as I'm allowed to contribute that year. And if my reason for doing this is that I'm realizing I won't qualify for ACA that year, I probably don't have a lot of income that year on which to base contributions. But I may still have enough income to contribute enough to get me over the amount I need in the Traditional Solo 401(k) and then do the Roth conversion. Does this make sense or am I missing a reason this isn't possible?
I think this possibility slipped my mind because I normally don't do contributions until tax time. So much so that I often forget I am allowed to make contributions during the year if I want to for any reason.
I think this possibility slipped my mind because I normally don't do contributions until tax time. So much so that I often forget I am allowed to make contributions during the year if I want to for any reason.
Statistics: Posted by GoldenBear17 — Tue Sep 30, 2025 4:36 pm — Replies 34 — Views 2727