Many a high-income professional who earns too much to make a direct Roth IRA contribution will need to use the backdoor to make a Roth IRA contribution of $6,000 or $7,000 (if age 50 or over).
With pending legislation that may eliminate this option, it’s more important than ever to get this done before the end of 2021.
You may never have another chance to contribute to a Roth IRA unless your income is reduced to a number the government deems low enough to make a direct Roth IRA contribution.
You make too much money, fancy pants high earner, to get a tax deduction from a traditional IRA contribution. However, you can still make a non-deductible contribution. Nothing changes on your taxes, and you have more money in an IRA now. Good, it’s protected.