Personal Finance (Not Investing) • Re: Roth TSP & Roth IRA?

Thank you for explaining. Initially my plan or thought was to just use this as SEP IRA as intended but the idea of converting to a backdoor Roth later is intriguing.

I think you may be confusing the terms "Roth conversion" and "backdoor Roth". They are similar, but not really the same thing.

Do I have to make sure I set up my SEP with a specific company? One that would allow for the eventual backdoor Roth?

Any SEP IRA - because it is an IRA - can be converted to Roth at some point.

My initial plan was ask the forum if I should set up my SEP at VG or Fidelity but should I consider anywhere else? And should someone in my shoes prefer one over the other?

It is not clear to me what you are trying to do. Apparently, you want to fill Roth TSP each year and Roth IRA as well. Can you contribute to Roth IRA directly or do you need to use the "backdoor method"? If you make too much money to contribute to Roth IRA directly, why not use an ordinary traditional IRA instead of SEP IRA?

Do you currently have a SEP IRA or thinking about setting one up?

Statistics: Posted by retiredjg — Wed Dec 04, 2024 8:59 am

---