BACKDOOR ROTH IRA

General information: A Backdoor Roth IRA is a legal, tax-efficient strategy that allows high-income individuals, who exceed the income limits for contributing directly to a Roth IRA, to indirectly fund one. The process involves contributing to a traditional IRA and then converting it to a Roth IRA. This approach takes advantage of the tax benefits of a Roth IRA, such as tax-free growth and withdrawals.