Individual Retirement Accounts » Roth IRAs Roth IRA Recharacterizations
A shareholder may recharacterize under 2 different circumstances: | » | By redesignating a current-year contribution plus earnings from a Traditional IRA to a Roth IRA (or vice-versa). | | » | By "unwinding" a conversion made to a Roth IRA by transferring the amount plus earnings back to a Traditional IRA. | Shareholders will elect to recharacterize a contribution or conversion if they fail to meet income guidelines or if they simply change their mind. Recharacterizations must be completed by tax filing deadlines. |