Question

Can I make non-deductable contribution to my Spouse's traditional IRA (who is not working) and then perform a back-door roth conversion?

Forum|Forum|5 years ago
September 30, 2020
1 reply
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Just to add, both of us are in our 30's (so age applicable) and I already do non-deductible $6000 contribution to traditional IRA and perform backdoor roth conversion. Now, can I do another $6000 non-deductable contribution in my spouse's account (who is not working/no earned income) and perform backdoor roth conversion?

Not A Product Question

D

dmertz

Employee

If you have sufficient compensation to support the sum of the two contributions, yes, your spouse can make a traditional IRA contribution based on your compensation since she does not have any compensation of her own. Whether you make the deposit or your spouse makes the deposit, it's your spouse's contribution to your spouse's traditional IRA. There are no restrictions on the timing or amount of Roth conversions from traditional IRAs, so your spouse can then do a Roth conversion. As long as your spouse has no funds in traditional IRAs at year-end, all of the basis from your spouse's nondeductible contributions will be applied to the Roth conversion.