When your modified adjusted gross income (MAGI) is above a certain threshold, you’d have to go through the “backdoor” conversion if you want to contribute to a Roth IRA. According to Investopedia, “a backdoor Roth individual retirement account (IRA) is legally permissible and respected by the Internal Revenue Service (IRS), provided that tax law requirements are met.” Financial advisors usually include this conversion service for their clients; if you don’t have one, it’s not that hard to do it yourself. I found an easy solution using Wealthfront (an automated investment tool), and have done the conversion for the last few years without any hiccups. Assuming you have a Wealthfront account, the how-to steps are laid out below.
How to get Backdoor Sneakers
You might’ve heard it being whispered at your local Foot Locker or sneaker store. Backdoor sneakers. What does this term mean? Basically, it’s when…