Sneaky trick to avoid paying taxes in your Traditional IRA.

[@wavygoods877]

Is this what is called a back door Roth IRA? What I need help is to do this but with a rollover 401k account all at once.

[@halfexpert2647]

Yes you are looking to do a Roth IRA conversion. IRA conversion is ultimately what a “back door Roth contribution” is.

[@sealabverticle7897]

how is this a loophole??? when you move money to a 401k you lose 50% of the money to fees, fines, and taxes.

[@maryannschneider]

Can't see your chalkboard

[@boudicca7070]

Can’t see on blackboard. Suggestion, use a whiteboard instead 😊

[@heidihoac]

Great advice!!!!

[@jedimaster4088]

Thanks again for another tip!

[@sf7234]

You know Dustin is good when a Jedi master approves

[@lincojo9355]

Most newbies fail simply because they don't understand how the market works in general or in particular how the market relates to stock or currency pair they entering. If a retail trades doesn't grasp what the market makers are doing and when they are doing it, the greatest strategy in the world will fall. For new traders the markets are like entering an F1 race before you've passed your drivers license test. I am a beginner I never believe I made $30,000 in just a week from trading and with the market. an expert financial analysis and he made me-learn to read and understand the language of price action. He guides me with the exact time frame to trade and now I just received my first withdrawals of $30k in my bank account today I'm very happy, my advice is for you to contact him he will guide you perfectly well, and thank me later, I guess this is a good way to show my heartfelt appreciation for literally breaking the chain of my financial debit when I needed it most, you can contact him on his gmail at ([e-mail])

[@RickMartinYouTube]

gotta buy a different board to write on - can't read what you're chalking there

[@alrocky]

The $100,00 traditional IRA does *not* have to be moved to the 401(k) *first.* You can _backdoor_ Roth IRA first and then move the $100,000 traditional IRA to the 401(k) *before* the end of the year.

[@silver6054]

My financial advisor (hourly fee only) discussed this straight away, but I guess that makes sense as she doesn't make money on where our assets reside.

[@ICantSpellDawg]

Bold move to be AUM and tell clients to do this. This is the backdoor Roth trick, but very helpful

[@sirdewd2197]

How do I get one of those cool shirts?

[@ericbucklew1726]

Thanks Dustin! Always excellent advice! Been watching for a while now and will continue. Good on ya mate...

[@toddboden972]

Let me get this right. The $100.000 is moved to a Roth tax free? Please help me understand. Thanks!!

[@big-e3432]

Actually no. The $100K is moved from your Trad IRA to your workplace plan (Trad 401k, 403b or 457) to get it out of the pro rata equation. Then make your non-deductible Trad IRA contribution. Finally, do a Roth IRA conversion with that money. No taxes on the conversion, because you already paid taxes on that money. Hope this helps!

[@susanlau1]

What if you don’t have a work 401k ?

[@toddboden972]

@@big-e3432 damn that does me no good. I'm early retired and was hoping for a loop hole. Any ideas for us older folks? Thanks again!!

[@big-e3432]

@@susanlau1 Do you have any type of employee sponsored retirement plan at work?

[@big-e3432]

@@toddboden972 Congrats on being an early retiree. Sorry, I don’t know of any loopholes.

[@frankwilkinsii8977]

If you had a 401k with a previous employer and you rolled into an IRA can you roll that IRA into a new 401K?

[@nickv4073]

Yes you can but why would you want to? There are limitless choices for IRA investments but very limited choices in 401K's. Makes no sense to do that.

[@halfexpert2647]

Yes, as long as your plan accepts rollovers

[@kevhino260]

What if my 401k is a Roth 401k

[@alrocky]

A 401(k) typically allows both traditional 401(k) and Roth 401(k). The question is whether or not your 401(k) plan allows or accepts transfers from a traditional IRA.

[@kevhino260]

@@alrocky thanks

[@yanmamabear5734]

Could you open a new IRA account, contribute the max $6000 in there, then immediately roll over to your Roth IRA? Since the new IRA has no money in there to start with, would you still have to pay taxes on the roll over amount?

[@Sylvan_dB]

All your IRAs are added up to determine the percentage pre- vs post-tax.

[@brucesmith6868]

Thanks Dustin always great advice !

[@rolandosouffrain7957]

This is great. This yr I might make too much to contribute to my Roth I.R.A. this is exactly something I would need. You just got a a new customer. As soon as you guys are taking in new people, I am definitely signing up. I am doing great by myself. 30% gains 8n my traditional I.R.A since last yr with qqq but always could do better. I'm 45 and all together I have a lil over 500k between my Roth 401k, traditional I.R.A, SDIRA and Roth I.R.A. 😁💪🏾💪🏾

[@knightybee]

Anyway I can get post-tax contributions already mixed with pre-taxed money in a traditional IRA converted to a Roth? Without paying taxes.

[@lincojo9355]

Most newbies fail simply because they don't understand how the market works in general or in particular how the market relates to stock or currency pair they entering. If a retail trades doesn't grasp what the market makers are doing and when they are doing it, the greatest strategy in the world will fall. For new traders the markets are like entering an F1 race before you've passed your drivers license test. I am a beginner I never believe I made $30,000 in just a week from trading and with the market. an expert financial analysis and he made me-learn to read and understand the language of price action. He guides me with the exact time frame to trade and now I just received my first withdrawals of $30k in my bank account today I'm very happy, my advice is for you to contact him he will guide you perfectly well, and thank me later, I guess this is a good way to show my heartfelt appreciation for literally breaking the chain of my financial debit when I needed it most, you can contact him on his gmail at ([e-mail])

[@Mr.C-Mister]

How many times can I do this? Once a year back and forth? I can't contribute more than 6k anyways to my Roth IRA.

[@tengkengvang3894]

As many times as you want up to the 6k. Its called a back door roth ira. Generally speaking, if you need to do it, you can afford to do it in large lump sums, e.g., 3k done twice or even just the 6k once.

[@alrocky]

Are you asking about backdoor Roth IRA or *pro-rata* rule?

[@Mr.C-Mister]

@@alrocky back door roth IRA.

[@alrocky]

@@Mr.C-Mister You *backdoor* Roth IRA because you earn too much money to *directly* contribute to a Roth IRA. Since you made a lot of money you can afford to $6,000 all at once so you'd typically do this once a year in January: contribute $6,000 to a traditional IRA and then promptly convert that $6,000 to a Roth IRA.

[@cheriecheng3414]

That’s great!!! 😊 You’re a genius!

[@genejones7983]

I have an IRA with a broker that I have had for a long time, to avoid the "Pro Rata Rule" can I open another couple of IRA's (traditional and ROTH) at another broker and just do my backdoor Roth over there with no "Pro Rata Rule"?

[@matthewharrigan3568]

That's not the rule. It doesn't matter if it at another broker, except for the practical reason that it's slightly harder for the IRS to figure it out

[@alrocky]

Do you have any existing traditional IRA balance from prior years?

[@halfexpert2647]

Nope

[@edgarantonio5728]

Great info brother I can’t believe you don’t have more followers

[@kakrot3]

This is dark magic ✨.

[@freddieh5539]

Damn good info. Too late for me, though. I'm retired, and everything is in rollover or Roth IRA. So I'll be paying taxes on conversions, like it or not.

[@msills255347]

Nice!

[@mscottdowning9682]

Your notes on the blackboard are totally unreadable.

[@scalleewagg9746]

me clicking this video because I read "Sneaky trick to avoid paying taxes in ... your Traditional IRAQ"

[@mikebarton8671]

☺☺

[@aricanaan1266]

Why did you even have a board there? Bad explanation combined with a “black”board

[@robinsonle]

🤯

[@IkaikaArnado]

Well done!