By Sarah Brenner, JD
Director of Retirement Education

Question:

Can a person do a rollover from both his traditional AND Roth IRAs in the same twelve months?

Best regards,

Matthew

Answer:

Hi Matthew,

The once-per-year rollover rule restricts an individual from rolling over more than one IRA distribution during a 365-day period. For purposes of this rule, traditional and Roth IRAs are aggregated. If you have both types of IRAs, you can only do one rollover from either the traditional IRA or the Roth in a one-year period.

Question:

I have a 60-year-old client who has the opportunity to contribute to a Roth 401(k). Is he permitted to contribute to both his Roth 401(k) and his Roth IRA?  Are there limits?
Thanks for your help!

Linda

Answer:

Hi Linda,

To fully fund a Roth IRA, you must have earned income. Additionally, your modified adjusted gross income (MAGI) for 2024 must be under $230,000 if married filing jointly (or under $146,000 if filing single). If he meets these requirements, he can fund both the Roth 401(k) and the Roth IRA. Funding one does not affect the other.

https://irahelp.com/slottreport/ira-rollovers-and-roth-contributions-todays-slott-report-mailbag/