solo 401k in plan pre tax to Roth conversions

[MARK D.]

What is the process in moving money from a 401k pre tax account into a 401k Roth.

Is this possible and is there a process to this

thanks

MARK D.

Contact

[George Blower]

Yes – it is possible to convert funds or assets from a pre-tax solo 401k sub-account to a Roth Solo 401k sub-account provided that one has a Solo 401k plan like our plan that allows for a pre-tax to Roth in-plan conversion.

Please see more: https://www.mysolo401k.net/items-to-consider-if-you-plan-to-process-a-self-directed-roth-solo-401k-pretax-in-plan-conversion-in-2022/

George Blower

My Solo 401k Financial

Contact

8004897571 mysolo401k.net

[MARK D.]

Thank you for that link…

One more follow up question.. Can I move stocks from 401k pre- tax to 401k Roth or does it have to be cash or check written.

Mark

MARK D.

Contact

[George Blower]

This confirms that it is possible to convert assets (in-kind) from a pretax solo 401(k) account to a Roth solo 401(k) account.

Please note that this will require a Roth solo 401(k) brokerage account they can hold the particular investment.

Please note that an in-kind and in-plan Roth Solo 401k conversion is both reportable and taxable.

Clients provide us the information needed to prepare the required 1099-R by submitting the following online form including the value of the asset (e.g. shares/membership interst in the private placement):
https://www.mysolo401k.netpretax-to-roth-solo-401k-in-plan-conversion-form/
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IMPORTANT NOTE: If alternative Investment assets (e.g., real estate, notes, private shares, etc.) are being converted, the fair market value of the asset(s) being converted needs to be listed.

George Blower

My Solo 401k Financial

Contact

8004897571 mysolo401k.net