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debbiewith2 t1_iyco3sh wrote

Reply to comment by cambriancatalyst in Income exceeded Roth IRA limit by cambriancatalyst

You’re fine. Assuming you think your investments will go up, you convert as soon as each contribution collects. That way, there are no earnings to pay tax on - they accumulate in the Roth instead. If you forget or don’t have time, convert that contribution when you think of it or after the next one.

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cambriancatalyst OP t1_iycp74y wrote

Hence the point of the Roth, understood. If I may ask one last question, would you consider it a wise strategy to attempt to increase my last remaining 401k deductions for the year (currently contributing very minimally, like $50 a paycheck) enough to lower my MAGI below the Roth limit? I’m really only a couple thousand over and I think it’d be less effort, both now and moving forward, to attempt that approach.

I’m curious to hear your thoughts if you don’t mind and could spare the time.

Thanks again, very much appreciate your input!

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debbiewith2 t1_iycpgno wrote

Getting more money in tax-advantaged space is generally a good idea! If you can afford to do that and this is a good reminder, go for it!

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