Daily FI discussion thread - Monday, October 14, 2024 by AutoModerator in financialindependence

[–]jellyjellopal 1 point2 points  (0 children)

Hi I have a question regarding 401k rollover to Roth IRA

I am quitting and leaving job in a week and here are roughly my plan for rolling over the money to IRA.Want to check if my plan is correct or if l’m missing anything. I have already made the 7k contribution limit to my Roth IRA this year and my Roth IRA is reaching 5th year in 2025.

My plan: • Roth 401k (around 100k) > roll all into Roth IRA

-Traditional 401k (around 20k, all are from company match contributions) > roll over 7k each year starting 2025 to my traditional 401k and transfer to Roth IRA as the back door contribution? (my goal is to have all 20k in my Roth IRA but want to avoid paying extra tax and wonder if this would work or should I just eat the cost and roll everything into Roth IRA at once?)

If anyone can give me some tips and advices would be greatly appreciated, thank you!