The Roth recharacterization amount is less than limit and I want to make another Trad IRA cont (before tax deadline) so that total is 6500. Does the earnings from the Roth rechar count towards the Trad IRA contribution?
We contributed A to Roth, and recharacterized all to Traditional so A + B earnings. I want to then contribute C so that total for 2018 is the limit, D (6500). Does C=D-A-B or C=D-A?
And in TurboTax Premier, for the Traditional IRA "Tell Us How Much You Contributed" page what do I put into the "Total 2018 Traditional IRA Contributions" box?
The earnings included in the recharacterization, B, are not a contribution. The remaining amount that you can contribute is C = D - A = $6,500 - A.
Enter C as Total 2018 Traditional IRA Contributions. Amount A will already have been entered as Roth contribution subsequently recharacterized. As a result, TurboTax will show A + C on Form 8606 line 1 or on Schedule 1 line 32.
The earnings included in the recharacterization, B, are not a contribution. The remaining amount that you can contribute is C = D - A = $6,500 - A.
Enter C as Total 2018 Traditional IRA Contributions. Amount A will already have been entered as Roth contribution subsequently recharacterized. As a result, TurboTax will show A + C on Form 8606 line 1 or on Schedule 1 line 32.