Is It Safe to Do Back Door Roth Contributions?

The mega back door process is loosely similar to the same process for using eye rays, but it involves using an employer plan. It's called mega simply because there are larger contribution limits with regard to how much after tax money you can put in. If your income is high and you're a fazed out from being able to contribute to a roth e ora directly through the front door, the back door roth ira contribution process could make sense for you. Be aware of whether you have any pre tax money already in any iras. The conversion will be factored in for purposes of prorating how much of your conversion is taxable versus not taxable.