How to Make a Roth Contribution Even If You Make a Lot of Money
Since their introduction in 1997, Roth IRAs have been a unique way for investors to save for retirement. Rather than offering an upfront tax break like their traditional counterparts, Roth IRAs let you take withdrawals tax-free after you retire. That's a particularly appealing proposition for many people, especially if you anticipate being in a high tax bracket in retirement and want to avoid being forced to take taxable distributions from non-Roth retirement accounts.
However, Roth IRA contributions aren't available to everyone. If you make more than a certain amount of income, then you're not allowed to contribute directly to a Roth IRA. However, through a strategy called the backdoor Roth, even high-income taxpayers can get money into a Roth IRA.
Your ability to contribute to a Roth IRA depends in part on your income. In the table below, find your tax filing status and then read across to find out what your income limits are for a 2022 Roth contribution.
Source Fool.com
