Glossary Term

Mega Backdoor Roth

After-Tax 401(k) Roth Conversion

A Mega Backdoor Roth is a strategy allowing high earners to move significantly more money into a Roth account than standard contribution limits allow, using after-tax 401(k) contributions converted to Roth.

In Plain English

It's a legal way to move up to $46,500 extra into Roth in a single year, even if your income is too high for a normal Roth IRA contribution.

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