Thank you so much!
When you say ... " A backdoor Roth is a method to circumvent the income limitations of directly contributing to a Roth IRA. It is done by making a non deductible contribution to a Traditional IRA, then transferring that into the Roth account. By making the non deductible contribution, you establish basis in that Traditional IRA. Then, whenever you transfer it, it is treated for tax purposes, as if you liquidated it, ***but since it is all a return of basis, it is not taxed.*** "
When I contribute to a Traditional IRA I'll be using post tax dollars? which is why it doesn't get taxed when converting it from a Traditional IRA to a ROTH IRA?
I think I misunderstood something here.
