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401k-ira-roth ira


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Guest friardave
Posted

A newbie question

If i roll a 401k into a traditional ira i understand there is no tax due.

What would be the tax implications of rolling into a roth?

thanks, dave

Posted

Taxable, except that you have to roll from the 401(k) to the traditional IRA, then convert it to a Roth IRA. See http://www.irs.gov/pub/irs-pdf/p590.pdf

For example, page 26.

I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.

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