[USER]

This is the first year that I will be filing my taxes as single/head of household after my spouse’s death at the end of last year.

Unbeknownst to me, my income surpassed the amount to be eligible for contributing to a Roth IRA.

My accountant did not mention this to me until the beginning of this month, despite having done a tax planning review over the summer.

I had already completly funded my Roth IRA at the beginning of the year.

I also have a Roth 401(k) through my (self employed)business.

What are my options on how to rectify this, and what questions should I be asking/thinking about?

[Sean]

My condolences for your loss. On your Roth IRA situation, it is an “act, but do not worry” type of situation.

While I cannot tell you how to resolve it.

[Leah]

Did this once. One option, which I chose to do, is withdraw the funds from your roth account prior to filing your taxes.

My brokerage account had a form I had to file and then they sent the money back to me.

Just goggle over contribution to roth Ira and you will get lots of info.

[Sandra]

You should be able to file as a qualified widower for two years after his death if you have any dependents.

This should increase your standard deduction more than the head of household standard deduction.

I’m not sure if it’s enough to offset your income enough to avoid the Roth IRA penalties though.

Your cpa should know how this would impact you

[Stephanie]

So sorry of your loss!
If by small chance you have your ROTH Ira at Fidelity – they make it soo super easy to correct and pull the money back out (takes about 3 minutes to fill out a form online).

You will just be reasonable for paying the taxes on what that money earned this past year so far.

[Tricia]

Couple of thoughts as I’ve been in the same boat. The first time the company allowed me to move some to the next year.

So, you may be able to move to 2025. Otherwise you should look to do back door.

For subsequent years put the money into trad ira and then move to roth.

One way to do roth ira when income too high.

[Author]

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