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New Member
posted Feb 23, 2026 7:35:16 PM

MAGI calculation for 2025 Roth IRA Contribution

I find the Turbo Tax 2025 Home and Business Desk is not considering the 401k Roth conversions when calculating MAGI for the Roth IRA contribution limit. The MAGI should be AGI minus the Roth Conversion amount. Correct? Has anybody else encountered this problem or the rule has changed?

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1 Best answer
Level 15
Feb 24, 2026 4:31:47 AM

"I find the Turbo Tax 2025 Home and Business Desk is not considering the 401k Roth conversions when calculating MAGI for the Roth IRA contribution limit."

 

TurboTax is behaving correctly.  In-plan Roth Rollovers are not to be subtracted from AGI.  Only conversions to a Roth IRA are to be subtracted.  IRRs have never been permitted to be subtracted from AGI.

1 Replies
Level 15
Feb 24, 2026 4:31:47 AM

"I find the Turbo Tax 2025 Home and Business Desk is not considering the 401k Roth conversions when calculating MAGI for the Roth IRA contribution limit."

 

TurboTax is behaving correctly.  In-plan Roth Rollovers are not to be subtracted from AGI.  Only conversions to a Roth IRA are to be subtracted.  IRRs have never been permitted to be subtracted from AGI.