How to Set up Backdoor Roth IRA with Charles Schwab under 5 min | Step-by-Step Guide
In this video, I'm going to talk about what a Roth IRA is and why it's a tax loophole plus a detailed walk-through on how to set it up in less than 5 minutes at the Charles Schwab brokerage. I'm also going to explain some pitfalls you should avoid during the set-up process including tax form 8606, pro-rata rule, conversion time, and some investment recommendations. 0:00 Intro 0:54 What is Roth IRA 1:47 Set Up Roth IRA via Charles Schwab 5:52 Investment Recommendation 7:04 Pitfalls to Avoid 7:11 Form 8606 7:30 Pro-rata Rule 8:59 Mega Backdoor Teaser **RECOMMENDATIONS** What Video to Watch Next? Become a Millionaire: right order to contribute to 401K, IRA, and HSA: • How to climb the Retirement Ladder in... How to set up Roth IRA with Fidelity: https://www.fatroth.com/backdoor-roth... How to set it up Roth IRA with Vanguard: https://www.physicianonfire.com/backdoor Form 8606 detailed explanation (calendar year vs. non-calendar year contribution): • Backdoor Roth IRA (How to Fill Out IR... 17 ways to screw up backdoor Roth IRA: https://www.whitecoatinvestor.com/17-... IRS Roth IRA contribution limit: https://www.irs.gov/retirement-plans/... IRS Roth IRA income limit: https://www.irs.gov/retirement-plans/... Charles Schwab Referral Link (get up to $500): http://www.schwab.com/public/schwab/n... Other videos that might interest you: Mint & Personal Capital Comparison: • I rated Mint and Personal Capital (Wh... Save $350+ a year on Energy by using OmhConnect: • How to Make Money by Saving Energy | ... _________ **DISCLAIMER** This content for my video is for education and entertainment purposes only. You should use your own discretion to follow any advice as described in this video. This description may contain affiliate or referral links that allow you to find the things mentioned in this video and support the channel at no cost to you. #BackdoorRothIRA #CharlesSchwab #RothIRA #ProRataRule #Form8606 #RothConversion #TargetDateFund #RetirementContribution #RetirementSavings #TaxAdvantagedAccounts #FIRE #RetireEarly
