Saving for Retirement


What's a backdoor Roth IRA?

October 18, 2013

Learn how to use a Roth IRA as a wealth management tool

When creating a tax-efficient investing strategy sometimes it makes sense to use the "back door." Maria Bruno and Joel Dickson of Vanguard's Investment Strategy Group explain a strategy that can allow high-income investors to utilize a Roth IRA as a wealth management tool.

Other excerpts from this webcast:

Important information

  • All investing is subject to risk, including the possible loss of the money you invest.
  • Withdrawals from a Roth IRA are tax free if you are over age 59½ and have held the account for at least five years; withdrawals taken prior to age 59½ or five years may be subject to ordinary income tax or a 10% federal penalty tax, or both. 
  • This webcast is for educational purposes only. We recommend that you consult a tax or financial advisor about your individual situation.

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