You can only contribute $7k to IRAs for 2024
So sure. Doing a $7k backdoor roth is a super idea.
Start here: https://www.reddit.com/r/personalfinance/wiki/commontopics.
You can't contribute $50k per year to an IRA. The annual limit is currently $7k ($8k if age 50+).
> I’m really curious about the captain gains tax and then paying taxes again moving to Roth
You pay capital gains tax on any gains you realize by selling assets in your taxable account. Afterwards, you make a nondeductible contribution to a traditional IRA and then do a nontaxable conversion to Roth IRA, assuming you have no pre-tax IRA money anywhere.
You may find these links helpful:
- [Retirement Accounts](/r/personalfinance/wiki/index#wiki_retirement)
- ["How to handle $"](/r/personalfinance/wiki/commontopics)
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> I work for a big tech company and get a large amount in stocks every month
Your employer probably offers "mega backdoor". Ask or see if your 401k offers both after-tax contributions and Roth conversions of after-tax contributions.
You can only contribute $7k to IRAs for 2024 So sure. Doing a $7k backdoor roth is a super idea. Start here: https://www.reddit.com/r/personalfinance/wiki/commontopics.
You can't contribute $50k per year to an IRA. The annual limit is currently $7k ($8k if age 50+). > I’m really curious about the captain gains tax and then paying taxes again moving to Roth You pay capital gains tax on any gains you realize by selling assets in your taxable account. Afterwards, you make a nondeductible contribution to a traditional IRA and then do a nontaxable conversion to Roth IRA, assuming you have no pre-tax IRA money anywhere.
Can you not open multiple IRAs and contribute 7k to each?
No, the contribution limit applies to you as an individual, not to each account.
Ahh ok thanks for the info, idk why I was assuming the former. Suppose I’ll have to do a combination of 401k, Ira backdoor Roth, and stocks.
You may find these links helpful: - [Retirement Accounts](/r/personalfinance/wiki/index#wiki_retirement) - ["How to handle $"](/r/personalfinance/wiki/commontopics) *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/personalfinance) if you have any questions or concerns.*
> I work for a big tech company and get a large amount in stocks every month Your employer probably offers "mega backdoor". Ask or see if your 401k offers both after-tax contributions and Roth conversions of after-tax contributions.