Mega Backdoor Roth IRAs

What is a Mega Backdoor Roth IRA?

What is a Mega Backdoor Roth IRA?

A Mega Backdoor Roth IRA strategy could be a great option for individuals who have maxed out all of their other tax-advantaged accounts, but still want to save more money for retirement in a tax-preferred manner. For those that are eligible (more on this in a bit), the Mega Backdoor Roth IRA strategy could allow you to contribute up to $37,000 to your Roth IRA per year, with no income limitations. If your spouse is also eligible to contribute to a Mega Backdoor Roth IRA, then the strategy would allow you to contribute up to $74,000 cumulatively as a couple to your Roth IRAs per year!