ROTH ACCOUNTS
01.Core Concepts
Characteristics: • Optional plan provision • Same (shared) contribution limits as pre-tax contributions • Employee currently taxed • Qualified distributions are tax free • In-plan rollover permitted, but no recharacterization allowed • Minimum distributions after death of employee • No RMD during lifetime beginning in 2024 • Requirements for qualified distribution • 5 years, PLUS • Age 59 ½, death, or disability • Nonqualified distributions taxed pro rata