No. of Recommendations: 1
"I'm still unclear about one thing--I must rollover my community retirment money into a traditional IRA and then recharacterize? Why can't it just go directly into a Roth IRA?"

It doesn't make a lot of sense but those are the rules.

"Oh, and one other thing. Two of you mentioned an adjusted GI of $100,000 to recharacterize the traditional back into a Roth. I thought the AGI for a Roth was $150,000? There is a different limit for recharacterization, I assume?"

You assume correctly. Also, this is true whether you are single or married filing a joint return, even if you get married during the year but *after* you have recharacterized. I believe you are not allowed to recharacterize at all if you're married filing separately.

Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.