The ‘Mega Backdoor Roth’: A 401(k) Feature You May Not Have Considered

Описание: If you’re curious whether a Mega Backdoor Roth could fit into your overall plan, visit https://hubs.li/Q041ZY650

In this episode of Blue Chip Chats, Gina DiGirolamo, CFP® sits down with Managing Partner Dan Seder, CFA, CMT, CFP® to break down a retirement planning strategy that some high-income earners might overlook: the Mega Backdoor Roth.

They start by laying the groundwork of a standard backdoor Roth, then walk through how the mega backdoor Roth works inside a 401(k) plan, including real-world contribution examples using current limits. Dan also explains how catch-up and super catch-up contributions fit into the bigger picture and why Roth dollars can play an important role in long-term tax planning and wealth transfer conversations.

As always, the discussion balances technical analysis with practical considerations, helping listeners understand when this approach may be worth exploring and why guidance matters.

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Timestamps:
00:00 – Intro & episode overview
01:03 – What is a basic backdoor Roth?
01:35 – How the mega backdoor Roth is different
02:00 – The three types of 401(k) contributions
02:31 – How the mega backdoor Roth works inside a 401(k)
02:51 – Contribution example
03:38 – Understanding the 415(c) contribution limit
04:02 – Catch-up contributions for age 50+
04:32 – Super catch-up contributions (ages 60–63)
04:54 – Key takeaways for high-income earners
05:10 – Roth accounts, RMDs, and long-term flexibility
05:38 – Roth strategies and wealth transfer considerations
06:11 – Final thoughts and next steps