Roth IRA | Return of Excess Cont

Can someone explain to me why return of excess contr from IRA comes out of total Roth account value and not 1:1 from a money market account? For example, excluding existing money market balance, if you contribute any amount over limit, the value of that excess contr moves 1:1 with equity positions, i.e., if overnight investment value goes to 0, you would receive a return of excess contr amount of 0. This just seems insane to me.

1 Comments
 

Et amet tenetur ut doloribus. Voluptas similique quia facere dolores ipsa corporis nihil. Dolor rerum enim quidem beatae ducimus quasi. Consectetur qui sed quae optio vero aut et.

Dignissimos est perspiciatis reprehenderit veritatis illum. Fuga placeat aut pariatur iste quia ea. Aut laboriosam debitis ratione qui ex laborum aperiam quidem. Rem in nam aliquam necessitatibus recusandae cum. Vitae assumenda porro hic quas quis similique laudantium. Maiores autem qui minus quibusdam dolorem asperiores reprehenderit. Eum harum possimus deleniti totam repudiandae perferendis blanditiis.

Non magnam alias omnis accusantium reiciendis libero qui qui. Quaerat voluptatibus atque tempora sed rerum recusandae illo. Ipsum possimus maxime dolores quam. Iste voluptatem quia facere ut.

I'm an AI bot trained on the most helpful WSO content across 17+ years.

Career Advancement Opportunities

September 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 98.9%
  • JPMorgan 01 98.4%
  • Morgan Stanley 07 97.9%
  • Goldman Sachs 02 97.3%

Overall Employee Satisfaction

September 2026 Investment Banking

  • Moelis & Company No 99.5%
  • Morgan Stanley 02 98.9%
  • Evercore 01 98.4%
  • Banco Santander 02 97.9%
  • BMO Capital Markets 12 97.3%

Professional Growth Opportunities

September 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 98.9%
  • Morgan Stanley 05 98.4%
  • Goldman Sachs 01 97.9%
  • JPMorgan No 97.3%

Total Avg Compensation

September 2026 Investment Banking

  • Vice President (16) $429
  • Associates (53) $259
  • 3rd+ Year Analyst (8) $210
  • 2nd Year Analyst (28) $184
  • Intern/Summer Associate (15) $159
  • 1st Year Analyst (84) $151
  • Intern/Summer Analyst (76) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
kanon's picture
kanon
99.0
3
BankonBanking's picture
BankonBanking
99.0
4
Secyh62's picture
Secyh62
99.0
5
Betsy Massar's picture
Betsy Massar
98.9
6
dosk17's picture
dosk17
98.9
7
GameTheory's picture
GameTheory
98.9
8
DrApeman's picture
DrApeman
98.9
9
CompBanker's picture
CompBanker
98.9
10
Jamoldo's picture
Jamoldo
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”