Backdoor Roth Strategy, True Path Wealth Strategies

"I make too much for a Roth. So that's just not available to me." I hear this from high earners constantly, and the first half is often true. Cross a certain income line and you can't contribute directly to a Roth IRA anymore. The direct route closes. The second half is where people leave something on the table. There's a strategy some investors may consider, depending on their circumstances, that can provide Roth IRA tax treatment if completed properly: ? Contribute to a traditional IRA. There's no income limit on making that contribution. ? Convert those dollars to the Roth side. Same money. Potentially different tax treatment later, if the rules for qualified Roth IRA withdrawals are met. Qualified withdrawals down the road can come out tax free. Withdrawals may be subject to taxes and penalties if made prior to age 59½ and the account has not been held for at least five tax years. Now the part that doesn't make it into most explanations of this: The conversion step can create a tax bill in the year you make it. There's a rule about the other pre-tax dollars you already hold that changes the math substantially for some people. And the reporting has to be done correctly, in the right year. This is genuinely one where the mechanics matter more than the idea. I've seen people execute the concept and get the reporting wrong, which turns a clean strategy into a mess to unwind. If your income has outgrown the front door and you're wondering whether this belongs anywhere in your plan, that's a conversation worth having before you move any money. Learn more or start a conversation at truepathws.com. Before taking action, consider consulting your tax advisor about how the rules apply to your situation. Neither New York Life Insurance Company, nor its agents, provides tax, legal, or accounting advice. Please consult your own tax, legal, or accounting professional before making any decisions. A Roth conversion may result in current income tax liability. Clients should