Message Font: Serif | Sans-Serif
 
No. of Recommendations: 0
>The information in this program says that we are only
>allowed a portion of our contribution to the Roth and >applies a small
>"fine" related to the excess contribution. If we pay >this fine with out
>income tax as the program implies, does this mean >that we can leave the
>contribution in our Roth account?

No, this means that if you do not remove or recharacterize the excess contribution as a nondeductible contribution to a traditional IRA by April 16, 2001, you will pay the fine AND the money will be kicked out of your Roth IRA and back to you once it is determined that you put in too much.

Print the post  

Announcements

Disclaimer:
In accordance with IRS Circular 230, you cannot use the contents of any post on The Motley Fool's message boards to avoid tax-related penalties under the Internal Revenue Code or applicable state or local tax law provisions.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
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.