Converting After-Tax Contributions and Aggregating RMDs: Today’s Q&A Mailbag
Director of Retirement Education
I have a client who has some after-tax contributions in an IRA, along with pre-tax contributions. They also have another IRA and 401(k)s. My question is: Can we convert just the after-tax contributions to a Roth IRA or is it pro-rated as a % of the overall retirement assets?
- A Single Premium Deferred Annuity with Delaware Life (I had rolled over my pretax 403b to this several years ago when my hospital employer switched retirement plan companies) My Delaware Life Anniversary statement says "Contract Type: IRA-Regular". This was the larger of the two RMDs.
- I took the entire combined RMD from my Traditional IRA with Wells Fargo for which I received a 1099-R. Form for the total amount from both IRAs and indicated that this was "all RMD" in TurboTax that I just completed.
Content Citation Guidelines
Below is the required verbiage that must be added to any re-branded piece from Ed Slott and Company, LLC or IRA Help, LLC. The verbiage must be used any time you take text from a piece and put it onto your own letterhead, within your newsletter, on your website, etc. Verbiage varies based on where you’re taking the content from.
Please be advised that prior to distributing re-branded content, you must send a proof to email@example.com for approval.
For white papers/other outflow pieces:
Copyright © [year of publication], [Ed Slott and Company, LLC or IRA Help, LLC - depending on what it says on the original piece] Reprinted with permission [Ed Slott and Company, LLC or IRA Help, LLC - depending on what it says on the original piece] takes no responsibility for the current accuracy of this information.
Copyright © [year of publication], Ed Slott and Company, LLC Reprinted with permission Ed Slott and Company, LLC takes no responsibility for the current accuracy of this information.
For Slott Report articles:
Copyright © [year of article], Ed Slott and Company, LLC Reprinted from The Slott Report, [insert date of article], with permission. [Insert article URL] Ed Slott and Company, LLC takes no responsibility for the current accuracy of this article.
Please contact Matt Smith at firstname.lastname@example.org or (516) 536-8282 with any questions.