Consolidating roth iras

Thinking about rolling over your 401(k) or similar retirement plan?

But once you put the money into a Roth IRA, all distributions will be untaxed after five years and age 59-1/2. You come out ahead on an after-tax basis -- the only basis that matters -- with a Roth if you are young and expect your tax bracket to be higher when you retire. "Consolidation of any accounts boils down to making it easier to coordinate your portfolio moves and do your asset allocating," Slovon said.And withdrawals can boost you into a higher tax bracket.For those reasons, account holders who do not need the money to pay living expenses often prefer to leave the money inside an account.See Non-deductible Traditional IRA page for income limits based on your tax filing status.For married couples with a MAGI between 1,000 and 9,000 in tax year 2017, the contribution result in a situation where one member of the couple is eligible to make deductible IRA contributions (such as a non-working spouse, or a spouse working part time or as a consultant or at a company without a retirement plan) while the other member of the couple (the one working at a company with a retirement plan) is not eligible for deductible IRAs, but might still be eligible for Roth IRAs.

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