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REDDIT

Mega backdoor Roth strategy ?

G
Mar 13, 2025 · 07:08

Found out my job offers the following:

- after tax contributions to 401k

- in-service rollover to Roth 401k

- in service rollover to personal Roth IRA

- ‘True Up’ policy for employer match paid out Q1 the following year

My current thinking is to max out the $23.5k employee limit early in 2025, and then do an after tax contribution of some kind($25k or so) and roll it into my personal Roth IRA account. I would also max out my personal Roth with the $7.5k limit which is also apparently totally separate from 401 rules (lol).

Thoughts on my approach? Apparently this number of options is ‘rare’ and I want to take advantage. I confirmed all details on the phone with my plan provider and reviewing the plan summary doc.