My income is above the threshold, thus I figured doing the Backdoor Roth IRA will help. I opened a Traditional IRA in late 2024 which has 0 fund.
My contribution of post-tax money to Traditional IRA:
- $7000 in February 2025 for the 2024 tax year
- $7000 in March 2025 for the 2025 tax year
Conversions:
- Converted $14000 from Traditional IRA to Roth IRA in March 2025
For tax-reporting:
- 2024 Tax Return (filed in 2025): I presume I need to report 2024 $7000 non-deductible contribution on Form 8606? But I do not have 1099R for 2024 from my brokerage firm. Is this a problem?
- 2025 Tax Return (filed in 2026): I presume I need to report 2025 $7000 non-deductible contribution on Form 8606? And I would have 1099-R that says I converted $14000 to Roth IRA?
Is there a problem converting $14000 in 2025 Tax return? Any tax implication? Did I do this right?
Thank you
For 2024, you will complete the 8606 to report the nondeductible 2024 traditional IRA contribution (made in 2025) only. You do not need the 1099-R for this. Next year you will receive the 1099-R for the conversion and will report it and the 2026 nondeductible contribution.
There will be no problems reporting the $14,000 conversion for 2025 because that is when you made the conversions which is acceptable.
You may want to book mark this link with the instructions- because you will be doing the first part now and report the conversion in 2026. How do I enter a backdoor Roth IRA conversion?