BenefitsLink Message Boards > SEP to Roth - any limits on number of conversions?

Full Version: SEP to Roth - any limits on number of conversions?

BenefitsLink Message Boards > Retirement Plans > IRAs and Roth IRAs

rfopiano

Oct 5 2000, 06:02 PM

RE: Conversion/rollover from SEP to Roth:

Can a person contribute to a SEP, say $8,000, then roll this into a Roth? And then repeat this process annually? My client has low AGI and doesn't really need the tax deferral right now, but building up a tax free Roth looks almost too good to be true. Can this be done? I realize that the SEP would have to be included in income in the year of conversion, but could this be a way around the $2,000 limit on Roth contributions?
Thanks for any comments.

BPickerCPA

Oct 5 2000, 08:18 PM

As long as the income is high enough to fund the SEP, and low enough to qualify for a roth conversion, you can do both.

It's a good deal for those that can "get away with it".

This is a "lo-fi" version of our main content. To view the full version with more information, formatting and images, please click here.