Hello,
I have an existing Roth created long ago. However, I am no longer able to contribute due to income limits. (I haven't done so last couple of years). However I am now planning to contribute via the backdoor option. I want to do so for 2024 and 2025. So here is my plan to accomplish this (my question is at the end)
1. Create a new Trad IRA account (I dont have any existing Trad IRA)
2. Deposit non-deductible amount to Trad IRA for Tax Year 2024.
3. Wait for amount to "settle"/be cleared.
4. Rollover the entire amount to the Roth IRA for Tax Year 2024.
Repeat Steps 1 thru 4 for Tax year 2025.
Questions that I have:
1. Can I rollover now in March 2025 (towards tax year 2024) and then again do this in March or April for Tax year 2025? I am concerned about the "one rollover per year allowed", is this per calendar year? per tax year?
2. Do I need to create 2 new Trad IRA account to do it once for Tax Year 2024 and then for Tax Year 2025? Or can I just use the same traditional IRA for 2025 (it will be empty, since I would have rolled over the 2024 amount into the Roth IRA).
Thanks a ton for this online community!
