Converting a Nondeductible IRA
For high income earners that don’t qualify for a Roth IRA, a nondeductible IRA followed by a Roth conversion is a great back door approach. There are, however, some caveats to this strategy. This article talks about the pros and cons of this approach. For those of you who espouse the tax-free retirement planning world view, this is another good arrow to have in your quiver.