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Say I am employed with company 'A' with whom I have a 401K account. Now, while switching jobs, I decide not to carry forward this 401K to the next employer but instead rollover this 401K I had with company 'A' into a rollover IRA, which I later convert to a Roth IRA.

Now, say I am with my new employer 'B'. When I switch my job again, can I once again rollover this 401K (I have with employer 'B') into the my rollover IRA account and later convert it to Roth IRA?

This process is more like a backdoor to having an IRA account if your income is above the state specified limits. Therefore, if such multiple rollovers are possible, how many such rollovers are allowed?

adi
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1 Answers1

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I do not believe there is any real limitation. This IRS web page is instructive.

Note that the limit of one rollover per year appears to apply when you have received a distribution from another IRA and want to put it into another IRA.

Note:

The one-per year limit does not apply to:

  • rollovers from traditional IRAs to Roth IRAs (conversions)
  • trustee-to-trustee transfers to another IRA
  • IRA-to-plan rollovers
  • plan-to-IRA rollovers
  • plan-to-plan rollovers

where I've bolded the items that seem to apply in your case.

Peter K.
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