Traditional IRA just for backdoor roth usage question
If I am going to deposit into a traditional IRA just for the purpose of doing a backdoor roth (we are above the income limit), is it beneficial to have the $7.5k immediately there and then convert? Last year I used a bonus to fully fund the IRA limit and then immediately converted it. If I slowly trickle into the trad IRA over the year and there are gains, I would be taxed on said gains at the time of the roth conversion, right? If yes, is there any strategy or is that just how it is?
u/BusNumerous2757 — 3 days ago