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Showing posts with label direct IRA transfer. Show all posts
Showing posts with label direct IRA transfer. Show all posts

Moving Your Roth IRA to another Roth IRA

If you have a Roth IRA, you may want to move that money to another Roth IRA elsewhere. There are lots of reasons you might want to do so. For example, maybe the current financial organization that has your Roth IRA has high account fees, and you would like to find another custodian with little or no fees. Or maybe you’ve found a new financial advisor...

Moving Inherited IRA Money? Be Careful

Let's say that someone who is not your spouse recently died and named you as their IRA beneficiary. You now have what the IRS calls an “inherited IRA.” It's also sometimes called a beneficiary IRA. You may want to move that inherited IRA money elsewhere for a variety of reasons. Perhaps you want to invest that money in other assets or securities that...

Mailbag

Thursday's Slott Report Mailbag

Consumers: Send in Your Questions to mailbag@irahelp.com

Q:
You recently said that a 401(k) distribution would add to your MAGI (modified adjusted gross income) for the purpose of determining if you are subject to the 3.8% healthcare surtax. What about Roth IRA distributions? Would they also count towards your total MAGI income for surtax purposes?

Thanks

A:
IRA distributions are exempt from the 3.8% surtax, but taxable distributions from IRAs can push income over the threshold amount, causing other investment income to be subject to the surtax. Because Roth IRA distributions are generally tax-free, they don’t count towards your total MAGI.


 
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