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Roth IRA Conversion

bparker

I'm using Q 2019 Premier (R14.27), Windows 10.

I want to record a conversion from my Traditional IRA to my Roth IRA.

A Community link (posted two years ago) provides a helpful answer from SuperUser Sherlock. See:
https://getsatisfaction.com/quickencommunity/topics/roth-ira-conversion-o8rlfhbbcpnoc

But I notice the answer was written eight years ago. I'm happy to follow the steps outlined in Sherlock's solution, but before doing so I merely wanted to double check to see if possibly there had been any enhancements or refinements to Quicken to record the conversion without the workaround, or that no "newer" / different solution has evolved with Quicken's development to convert from a Trad IRA to a Roth IRA.

Thank you,

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unknown

The process still applies, but I would have to say I didn't bother with trying to not have the transfer into the Roth IRA account recorded as a contribution and depending on your situation you might want to record the transfer to the cash account differently.

I actually did a conversion this year, and did it without seeing this advice.

The advice given is to set the outgoing tax line for the Traditional IRA account to "1099-R taxable IRA gross distribution".

For me that was a problem, because not all my transfers from that account were going to be conversions. Some of my transfers were to other Traditional IRA accounts, and I certainly didn't want them to be records as taxable. So my outgoing tax line was set to blank.

And instead I did this to record the taxable event (in the cash account).

Image httpsd2r1vs3d9006apcloudfrontnets3_images1759088RackMultipart20181027-130593-z8lo3r-SplitTransaction_inlinePNG1540599679

The first line is the transfer from the Traditional IRA into the cash account.
The next one is transferring it back out to the Roth IRA.
The next line records the conversion in the right category (which is assigned the tax line of "1099-R taxable IRA gross distribution")
And the last line is an offset/adjustment to make the balance in the cash (Float) account correct.

On the transfer transaction into the Roth IRA I just made the contribution year 2017 and ignore it (I could have put in 2001 for that matter).

The thing is I have never even found where Quicken uses the contribution year in the first place, let alone have to worry about it messing something up.

bparker

This is great! Thanks for the instant feedback and guidance - the screenshot is particularly helpful. I’ll use Sherlock’s procedure and augment with your steps.

I’ll come back and report on results.

Thanks again. Most helpful. Very much appreciated.