DanaB27
Expert Alumni

Get your taxes done using TurboTax

Yes, if you wait until 2024 to reverse rollover the pre-tax funds from your traditional IRA to your employer 401k, then the pro-rata rule still applies for the tax year 2023, since you still have pre-taxed funds in your traditional IRA on December 31, 2023.

 

The Backdoor Roth for the tax year 2023 only works if all your traditional/SEP/SIMPLE IRAs don' have a pre-tax fund balance on December 31, 2023. Otherwise the pro-rata rule will apply.

 

But, if you roll over your pre-tax funds from your traditional IRA to your employer 401k in January 2024 then you will be able to perform a Backdoor Roth starting in 2024.

 

@ccthealias

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