No
1 Roll over a traditional 401(k) into a traditional IRA, tax-free. 2  Roll over a Roth 401(k) into a Roth IRA, tax-free. 3  Roll over a traditional 401(k) into a Roth IRA—this would be considered a Roth conversion, so you'd owe taxes. Choosing one for your rollover depends on the type of account you have now and other factors, such as when you want to pay taxes. 1  A rollover is considered an entirely different action from a contribution. Thus, the amount of a rollover has no impact on the contribution limit for the year. If you roll $100,000 from a traditional IRA to a Roth in 2013, you can still contribute $5,500, or $6,500 if you are 50 or older, to the Roth. By contrast, you must stop putting money in a traditional IRA and start taking distributions from the account at age 70 1/2. Consequently, some taxpayers choose to roll traditional IRA or other retirement plan assets into a Roth IRA. Therefore, if you made after-tax contributions to the 401(k), you can roll them directly into a Roth IRA without paying taxes on the after-tax amount as long as the associated pretax earnings are also distributed from the plan at the same time. You may also either convert any pretax 401(k) money to a Roth IRA, and pay the associated taxes, or roll it into a traditional IRA, and pay no current taxes. Of course, there are other factors to consider when converting or rolling over pretax money, so consult a tax professional. Most people are eligible to convert their 401(k) to a Roth IRA; however, it is important to be aware of the potential tax implications. If you have money in a designated Roth 401(k), you can roll it directly into a Roth IRA without incurring any tax penalties. However, if the 401(k) funds are pre-tax, then converting to a Roth IRA will be a taxable event. However, if you roll pre-tax assets into a Roth IRA, you will owe taxes on those funds. For after-tax assets, your options are a little more varied. You can roll the funds into a Roth IRA tax-free. You also have the option of taking the funds in cash or rolling them into an IRA along with your pre-tax savings. You are solely responsible for tracking the taxable and nontaxable amounts of the assets rolled over. If a nonqualified distribution is rolled over from a Roth 401(k) or Roth 403(b) to a Roth IRA, the nontaxable and taxable rollover amounts must still be tracked. You may only rollover one IRA distribution within any 12-month period regardless of the number and type of IRAs that you hold. The 12-month waiting period begins on the date you receive the Roth IRA distribution, not on the date you roll it over into a Roth IRA. Also, the amount of your contribution can't exceed the amount of income you earned that year (or that your spouse earned, if you're not working anymore). In addition, you're subject to annual traditional IRA limits ($5,500 for the 2015 tax year, $6,500 if you're age 50 or older). Yes, but the amount of your contribution can't exceed the amount of income you earned that year (or that your spouse earned, if you're not working anymore). You're also subject to annual Roth Let’s say you have $50,000 in after-tax contributions and $50,000 in pretax contributions and earnings, for a total of $100,000, in your 401(k) account from your former employer. You want to put some of that money into a Roth IRA. You can roll the $50,000 in after-tax contributions to a Roth IRA and pay no taxes. You may also either convert any pretax 401(k) money to a Roth IRA, and pay the associated taxes, or roll it into a traditional IRA, and pay no current taxes. Of course, there are other factors to consider when converting or rolling over pretax money, so consult a tax professional. Rollover Added to Income. If your rollover is taxable, you add it to your income when you file your return. For example, if you roll $100,000 from a traditional IRA to a Roth, your income will be increased by $100,000 for that year. By contrast, you must stop putting money in a traditional IRA and start taking distributions from the account at age 70 1/2. Consequently, some taxpayers choose to roll traditional IRA or other retirement plan assets into a Roth IRA. You can roll over your IRA into a qualified retirement plan (for example, a 401(k) plan), assuming the retirement plan has language allowing it to accept this type of rollover. Roth IRAs can only be rolled over to another Roth IRA. You can convert your traditional IRA to a Roth IRA by: 1  Rollover – You receive a distribution from a traditional IRA and contribute it to a Roth IRA within 60 days after the distribution (the distribution check is payable to you); Such contributions would be subject to the maximum annual contribution limits. A “qualified rollover contribution” is any rollover contribution to a Roth IRA from a traditional IRA or other eligible retirement plan that meets the requirements of IRC Section 408(d)(3). For purposes of determining whether a distribution from a Roth IRA that is allocable to a “qualified rollover contribution” from a traditional IRA is a “qualified distribution,” the five-taxable-year period begins with the taxable year for which the conversion applies.
https://investor.vanguard.com/401k-rollover/options http://finance.zacks.com/rollover-roth-ira-count-toward-annual-contribution-5036.html https://www.fidelity.com/viewpoints/retirement/roth-IRA-common-questions https://www.fidelity.com/retirement-ira/rollover-faq http://rothretirement.com/rollovers.phtml https://investor.vanguard.com/401k-rollover/ira-choices https://www.fidelity.com/viewpoints/retirement/roth-IRA-common-questions http://finance.zacks.com/rollover-roth-ira-count-toward-annual-contribution-5036.html https://www.irs.gov/retirement-plans/retirement-plans-faqs-regarding-iras-rollovers-and-roth-conversions http://www.thinkadvisor.com/2014/03/04/roth-iras-and-taxes-contributions-rollovers-distri
is a rollover into a roth considered a personal contribution