Hello

Please help me clarify this article

This article is still confusing me. I saw some investors stated that for high income earners cannot contribute to Roth (limit AGI )and instead they contribute to traditional IRA and convert to ROTH IRA immediately without gain or loss. It is called backdoor ROTH IRA 

Sound like, if they open traditional IRA and convert to ROTH immediately and no remaining or other traditional IRA left, then it is tax free 

If there is other traditional IRA, it is free only fraction of it 

Example : taxpayer has 95k traditionally in the account and 5K contribute to traditional IRA which $5k convert to ROTH IRA 

Calculation 

5k of total (95k+5k)=5%

then tax free is only 5% of 5k= about $500 and non tax free $4500 (I dont have exactly calculation)

I input data in professional proseries and see tax and I see some other investors stated this calculation. I hav not read publication yet. Please share your experienced . I thank you