Non deductible IRA contribution with Backdoor Roth conversion

I just want to verify I am not missing any logistical component in properly executing I non-deductible IRA contribution with the intent of converting into a Roth IRA. My client will likely be ineligible for a deductible IRA contribution or a Roth IRA contribution due to excess income and one spouse having coverage and actively contributing to a 401k. They have no other qualified plans.

When they open and contribute to the IRA, do they need to indicate to the custodian (TD Ameritrade) that the contribution is being made as non-deductible or will that only be communicated on form 8606 when filing 2021 taxes?

I also would like to verify there is no time period that must be met before the Roth conversion can take place.



The latter. The custodian does not know or care if your TIRA contribution is deducted or not. When the TIRA contribution is made the custodian only needs to know the amount and the year it is for. The conversion to Roth can be done anytime, but usually the sooner the better so that any gains on the contribution occur in the Roth account. 
The main misconception people have is that IRA basis and taxation of conversion is affected by which IRA account received the contribution or funded the conversion. None of this matters since all non Roth IRA accounts are treated as one combined account. Conversions are also not subject to the one rollover limit over a 12 month period.



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