This year me and my wife decided to open an IRA. We are married and file jointly. Our MAGI is 225,500 I used the calculator on multiple investments sites(Fidelity, CS) which indicated we can contribute around $1590 for Roth and $6500 for Traditional for the year 2023. I have already paid my taxes, but i still have time till April 15 to contribute to 2023 IRA. I opened a Roth IRA and contributed $1590. Later today i got to knew that i could have opened a traditional IRA added post tax $6500 and convert those to Roth IRA. Question is can i still do that? 1) Can i open a traditional IRA, contribute $4910($6500-$1490) and convert it to the existing Roth IRA? 2) Do i have to file 8606 if i do this? TC: 180k #stocks #investments #retirement #ira #tax
1: yes 2: no 8606 allows you to deduct your IRA contribution, but you won't qualify anyway based on your income.