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The good, old-fashioned version of the backdoor Roth IRA involves: – Step #1: Making a contribution to a Traditional IRA – Step #2: Converting the IRA to a Roth IRA
There are two slight variations to the “backdoor Roth” which we will discuss: – Variation #1: Rolling a pre-existing (pre-tax money) IRA to a Roth IRA – Variation #2: Rolling a Traditional 401(k) to a Roth IRA
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