Roth IRAs have an attractive tax incentive, which is that they make tax-free withdrawals during retirement possible. However, income limits exist for those who qualify to use this tax-advantaged account. In 2024, the income limit for single tax filers is $161,000, and $240,000 for those who file married on their taxes. There is a potential strategy for those who exceed the Roth income limits. The mega backdoor Roth strategy can be used to stash money in a Roth regardless of your income. What is a Mega Backdoor Roth? Mega backdoor Roths allow high-income earners to indirectly contribute to a Roth through a workplace retirement plan like a 401(k) or 403(b). The two main things needed to do a mega backdoor Roth include after-tax contributions to a 401(k) account and then a conversion of those after-tax funds into a Roth. It’s imperative to note that not everyone has access to these types of accounts. This will limit who can do a mega backdoor Roth. Not every employer offers the option of after-tax 401(k) contributions or allows conversions. The Benefits of Doing a Mega Backdoor Roth The