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Author: Hohum77 Big gold star, 5000 posts Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 74759  
Subject: Re: 401(k) to Roth IRA Date: 1/5/2009 6:48 PM
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What is the process for rolling a 401(k) over to a Roth IRA and what occurs as far as taxes owed?
Thanks again,

Andy


I'm not sure this can be accomplished in a single step.
401(k) contributions are typically pre-tax, while Roth IRA contributions are after-tax, and earnings are not taxed within the account in either case.


The typical process is two step
1. 401(k) => roll-over IRA
2. Roll-over IRA => Roth IRA

One will need funds to cover the related taxes in step 2.


Hohum
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