|
Posted by cardwellb on December 12, 2006, 1:56 am
Please log in for more thread options
Can I open a roth and put my annual required minimum
distribution into the Roth
<< ======================================================= >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ======================================================= >>
|
|
Posted by Don Priebe on December 13, 2006, 10:19 pm
Please log in for more thread options
> Can I open a roth and put my annual required minimum
> distribution into the Roth
Yes, if you meet the usual conditions for contributions to a
Roth ...
a) You have earned income (from a job or self employment)
equal or greater than the amount you put into the Roth
b) You observe the maximum limits for a Roth contribution
c) Your AGI allows you to make a Roth contribution
and you will still pay the normal tax on the RMD.
--
Don EA in Upstate NY
<< ======================================================= >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ======================================================= >>
|
|
Posted by Phil Marti on December 13, 2006, 10:38 pm
Please log in for more thread options
> Can I open a roth and put my annual required minimum
> distribution into the Roth
Probably not. The only thing we can say for sure based on
the facts given is that you cannot roll your RMD into an IRA
of any sort, including Roth.
If you have "taxable compensation" (see IRS Publication 590)
you can make a Roth contribution, but it has nothing to do
with your RMD.
--
Phil Marti
Clarksburg, MD
<< ======================================================= >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ======================================================= >>
|
|
Posted by joetaxpayer on December 13, 2006, 10:38 pm
Please log in for more thread options cardwellb@bellsouth.net wrote:
> Can I open a roth and put my annual required minimum
> distribution into the Roth
If you have an RMD, you must take it, and pay tax.
If you have earned income, subject to the income limits for
single/married, you may deposit money to a Roth regardless
of your age.
So, as long as you have earned income, there's nothing
stopping you from taking the RMD, paying the tax, and
putting up to $5000 in your Roth. But the way you phrase the
question, the answer is no, you can't 'convert' any part of
the RMD to the Roth, these are separate transactions.
JOE
<< ======================================================= >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ======================================================= >>
|
|
Posted by Harlan Lunsford on December 13, 2006, 10:38 pm
Please log in for more thread options cardwellb@bellsouth.net wrote:
> Can I open a roth and put my annual required minimum
> distribution into the Roth
Not on that basis alone, but only if you have the requisite
amount of earned income from a job.
Next year I'll be taking my required distribution and pay
tax on same. It's just coincidental that those funds will
be used to fund my ROTH account because i'm also still
working.
ChEAr$,
Harlan Lunsford, EA n LA
<< ======================================================= >>
<< The foregoing was not intended or written to be used, >>
<< nor can it used, for the purpose of avoiding penalties >>
<< that may be imposed upon the taxpayer. >>
<< >>
<< The Charter and the Guidelines for submitting posts >>
<< to this newsgroup as well as our anti-spamming policy >>
<< are at www.asktax.org. >>
<< Copyright (2006) - All rights reserved. >>
<< ======================================================= >>
|
|
|
Yahoo! 
Google 
Windows Live 
del.icio.us 
digg 
Netscape 
XML Sitemap