I just found out that I have excess contribution to ROTH IRA for tax year 2020 and 2021.
In 2020, I made $200 to Traditional IRA and $6000 to ROTH IRA, I have $200 excess on 2020 Roth IRA.
In 2021, I made $6000 to Traditional IRA and $6000 to ROTH IRA, I have $6000 excess on 2021 Roth IRA.
I requested to my financial institution to withdraw $6,200 excess for tax year 2020 and 2021, however, he told me I only need to withdraw $4680 due to investment loss.
From my understanding, I will need to withdraw the excess contribution of $6,200 because my ROTH account balance is not zero, if I only withdrew $4680, the remaining excess $1420 will still be counted 6% penalty every year, am I right?
