It's making more sense to me now, I think. Just so it's clear as mud before i go ahead and do this.....
The roll-over IRA is with etrade and the Roth-IRA is also with etrade.
So I can move $ 4400 for my wife and $5700 for myself from the "roll-over IRA" into the etrade Roth-IRA account respectively. Please see attached screen-shot from Turbo Tax so we are on the same page.
But what you are saying is that, I will pay 10% Tax on the total $10,100. (which will roughly be $1010 when I file my 2023 taxes next year) ? and my Income will increase by $10,100 in 2023 Tax Year ?
(Our Combined MAGI this year 2022 Tax year is $146000)
Can I choose to do let's say a $20,200 of IRA to Roth conversion if I can meet the Tax obligations ?
However, I think I will spread it over two years, to avoid having to pay all the Taxes in a single year.
Our total taxable income in 2023 will still be between the $83,500 - $ 178,150 tax bracket of 22%.
1)The move can be done before April 18th, 2023 but I will only have to pay Taxes and file the 1099R the following year Taxes?
These final questions will help clarify things for me. Thank you so much.
Humble Turbo Tax user.
(screenshot removed)
