What Form 944 Pr Revenue 2024

Hello and welcome to this episode of unvested shares. In this video, I will be showing you how to fill out Form 80606, which is the IRS form that needs to be submitted when you do a backdoor Roth conversion. So, again, when you do a backdoor Roth conversion, which I will briefly run over again as a review, you need to include Form 80606 when filing your tax return. I'm going to show you how to fill that out in today's video. As a brief reminder, a backdoor Roth conversion, or back to a Roth IRA, is a strategy that is often used by high-earning individuals who cannot contribute outright to a Roth IRA because they make too much money. Stated quite simply, in 2018, if you are a single filer and earn over $135,000, you can no longer contribute to a Roth IRA. If you are a joint filer and as a unit you earn over $199,000, you cannot contribute to a Roth IRA. So, again, the backdoor Roth conversion and the strategy there is you contribute up to $5,500 in earned income if you're under the age of fifty to a non-deductible IRA. And you then wait at least one period, one I would say, one statement period, if not an entire year before then converting that non-deductible IRA into a Roth account. And since you already paid your taxes before contributing to that non-deductible IRA, you won't owe any additional taxes when you convert to a Roth. So that is the high-level strategy of what a Roth conversion, excuse me, a backdoor Roth conversion is. And you know, a lot of times folks who are high earners will max out their 401k, and then on the side they'll also be contributing up to the $5,500 amount if they're under...