Anonymous
10/25/2014 04:27
Subject: Re:Did it drive you crazy to report a backdoor Roth IRA using Turbotax?
I had difficulty doing it on Turbotax 2 years ago. I switched to TaxAct last year (cheaper) and it wasn't any better. I eventually found instructions on exactly how to fill out the forms online. The WhiteCoat Investor has directions online for doing a backdoor roth IRA on your taxes if you need help. It's a real pain in the butt dealing with the IRS if you do the tax forms incorrectly 
Anonymous
10/25/2014 04:07
Subject: Re:Did it drive you crazy to report a backdoor Roth IRA using Turbotax?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Except that it's not a taxable event, like I said.
You pay zero taxes for conversion, as it is with post tax dollars.
Actually a Roth conversion is a taxable event, although whether you actually owe taxes will depend on your specific facts. I do a Roth conversion every year and some years I owe tax and some years I don't.
Wrong.
If I put 5k into a traditional, and convert it inmediatwly, it isn't taxable.
You need a new accountant/financial advisor.
It is taxable if:
1) You have other traditional IRA accounts that you are not converting (you should check this before you starting doing backdoor Roth IRAs; pro rata rule as a PP mentioned)
2) There are any earnings in the account from the time when you contribute to traditional and when you convert. Typically any earnings would be minimal anyway so this one is less of a concern. And you can avoid this by putting tIRA in money market account.
Anonymous
10/22/2014 22:29
Subject: Re:Did it drive you crazy to report a backdoor Roth IRA using Turbotax?
Anonymous wrote:Also, if you have any other pre-tax retirement accounts it gets even more complicated.
Anonymous
10/22/2014 22:28
Subject: Re:Did it drive you crazy to report a backdoor Roth IRA using Turbotax?
Anonymous wrote:Also, if you have any other pre-tax retirement accounts it gets even more complicated.
Only if you gave deductible iras.
401k/403b/401a/457 etc..doesn't matter.
You guys are amateurs and need professional advice!
Anonymous
10/22/2014 18:14
Subject: Re:Did it drive you crazy to report a backdoor Roth IRA using Turbotax?
Also, if you have any other pre-tax retirement accounts it gets even more complicated.
Anonymous
10/22/2014 18:05
Subject: Re:Did it drive you crazy to report a backdoor Roth IRA using Turbotax?
Anonymous wrote:Anonymous wrote:Anonymous wrote:Except that it's not a taxable event, like I said.
You pay zero taxes for conversion, as it is with post tax dollars.
Actually a Roth conversion is a taxable event, although whether you actually owe taxes will depend on your specific facts. I do a Roth conversion every year and some years I owe tax and some years I don't.
Wrong.
If I put 5k into a traditional, and convert it inmediatwly, it isn't taxable.
You need a new accountant/financial advisor.
Technically speaking it is a taxable event. Unrealized gains/losses need to be reported. However, if there are no unrealized gains/losses there would be no impact on your taxes owed/due.