I'm preparing taxes for my daughter who was married on 12/31/24 and now needs to file separately from her ex-husband. She has been contributing to a Roth each month in 2024. What options are there to minimize her penalty and paper work? Thank you.
02346
2 Replies
KeshaH
Expert Alumni
Apr 13, 2025 12:40:02 PM
She'd need to recharacterize her Roth contributions to a traditional IRA by April 15 to avoid a penalty. She can then convert the funds in the traditional account back to a Roth account.