Reply To: Does partial Roth conversion of 401k this year lose NUA option in future years?

Home Fairmark Forum Retirement Savings and Benefits Does partial Roth conversion of 401k this year lose NUA option in future years? Reply To: Does partial Roth conversion of 401k this year lose NUA option in future years?

#74835
Alan S.
Participant

An excellent question that few would even think to ask. The IRR would eliminate NUA if the IRR was done after the last triggering event for NUA and before the LSD year. But you still have separation from service or reaching 59.5 as future NUA triggering events. Both will erase the effect of the IRR. Therefore, you can do the IRR and still utilize NUA after you separate from service. Be sure to not include appreciated employer shares in the IRR. See QA9 in Notice 2013-74.

  • This reply was modified 1 month ago by Alan S..
  • This reply was modified 1 month ago by Alan S..