Hello! I opened a Traditional IRA last year and now realized that I probably would benefit more with a Roth IRA. Is it possible to convert a traditional to a Roth, and is it worth the trouble if I do?
Hey @RVT,
You can convert all or part of the money in a traditional IRA into a Roth IRA. You can look up Roth conversion for steps.
As for your 2nd question on if you should go through the trouble, it probably isn’t all that necessary. Even if you maxed out your IRA last year, that is $6,000. I don’t think changing your strategy on $6K will make a huge impact and I’m guessing you’ll probably have some combination of traditional and Roth in the future anyway.
But I get it if you want to keep things clean and streamlined.
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Is it possible to have both a Traditional and Roth IRA? I’m just thinking if so, in the future I can just open a Roth IRA and continue to contribute to that.
Yup! You can have both a traditional and a roth IRA account. You can even contribute to both at the same time but your combined contribution can only add up to the IRA max contribution limit.