Roth IRA Foundations for High Earners

This lesson establishes the Roth IRA concepts a high earner must understand before attempting a backdoor Roth IRA strategy. It explains what makes Roth treatment valuable, why direct Roth IRA contributions phase out at higher incomes, and how contribution limits, earned income, filing status, and timing shape eligibility.

The lesson also introduces the distinction between contributions, conversions, rollovers, and earnings, because confusing these terms can lead to excess contributions, unexpected taxes, or poor recordkeeping. Later lessons will cover the step-by-step backdoor process, Form 8606, the pro-rata rule, and timing tactics in more depth.