401k Limit 2024 Roth Conversion. The 401 (k) contribution limit for 2025 is $23,500 for employee contributions, and $70,000 for the combined employee and employer contributions. Some withdrawals may be taxable, and some may be subject to a 10% early withdrawal penalty.
A mega backdoor roth refers to a strategy that can potentially allow some people who would be ineligible to contribute to a roth account, based on their income or contribution. Another situation where a conversion might be worthwhile is if your income is too high to contribute to a roth ira directly.