qbteachmt
Level 15

"She had a 401K from the past that she rolled over. Do I need to know if she rolled it over to her IRA or SEP?"

What you need to do first, to follow the retirement money, is to know what was post-tax or pre-tax. Then, from which type of account. Then, to which type of account.

That's how you know when things look right or wrong.

Especially when you have various Activities. It's not a Mix or a Net. They are tracked per how the IRS treats them for what happened, and in some cases the employer account(s) do get counted with personal (IRA, SEP) and in some cases, the employer account(s) are not taken into consideration with personal. Some cause restrictions or limitations and some do not.

Some SEP allow other types of contributions, rollovers and/or transfers, but most do not.

Many IRAs accept any other pre-tax rollovers or transfers, but some do not.

A "backdoor" Roth simply represents an amount put into an IRA post-tax, and immediately converted, avoiding any earnings that would be taxable.

And that will help you determine what needs to appear on the Form 8606 and what does not.

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"Level Up" is a gaming function, not a real life function.
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