Author Topic: Converting tIRA to Roth IRA - must you be eligible to contribute to a Roth?  (Read 235 times)

GOFU

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Let's say you want to convert as much of a tIRA to a Roth IRA as you can in a given year. In order to do that is it required that you be eligible to contribute to the Roth in the first place?

Specific case: A person is not eligible to contribute to a Roth IRA (or a to a tIRA) because all income is excluded from federal income tax under the Foreign Earned Income Exclusion. Does that preclude establishing a Roth and converting part of the tIRA to Roth?

Absent the FEIE the person would otherwise be Roth-eligible.
« Last Edit: February 05, 2018, 08:32:17 AM by GOFU »

radram

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Looks like you are good to go.
https://www.forbes.com/sites/greatspeculations/2014/07/15/taking-some-pain-out-of-roth-conversions/#7bc313d76a46

"You can convert any amount from a traditional IRA to a Roth IRA. Note that “traditional” IRAs also include Rollover, Spousal, SEP, and SIMPLE IRAs, or any IRA format that, unlike the Roth, deferred taxation when the contributions were made. You don’t need any earned income for a conversion and there’s no income limit. No matter how much income you report, you still can convert all or part of a traditional IRA to a Roth IRA."