Many physicians believe they can’t do a Roth IRA. Sure, there are income limits on Roth IRAs, but there is a rule that turns out to be a nice workaround to help you maximize your Roth IRA.
is in The Doctor’s Life Podcast studios to help you with your Roth IRA info and that workaround. All episodes of The Doctor’s Life Podcast are available here
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Why Roth vs Traditional? Investment gains are not taxed and income is tax free after 59 ½ years old. Income taxes are low relative to historic levels and the national debt is increasing at a rapid pace. It’s better to pay today’s tax rate if they are going to be higher in the future.
For 2015, you can contribute up to $5,500 subject to income limits. This rule still exists and it leads most doctors to believe they cannot contribute to one at all. We hear this from most of our clients.
The good news is that you can still get money into a Roth IRA by making a conversion. You can take contributions into a non-deductible IRA and convert them into Roth IRA assets.