Retirement Rollover Flexibility Act

This bill amends the Internal Revenue Code to allow rollover contributions from Roth IRAs to designated Roth accounts in employer-sponsored retirement plans.

Sec. 2, Rollover contributions from Roth IRAs to designated Roth accounts: The bill adds a new rule allowing a direct trustee-to-trustee transfer of the entire amount from an eligible Roth IRA or in an automatic portability transaction to a designated Roth account. An eligible Roth IRA is defined as the only Roth IRA (other than a certain automatic portability Roth IRA) maintained for the individual during the taxable year, with a balance not exceeding a specified amount. The bill also treats such rollover contributions as investment in the contract for tax purposes, and coordinates the nonexclusion period for designated Roth accounts by adding a provision for rollover contributions from a Roth IRA in an automatic portability transaction, using the first taxable year of contributions to the source plan. These amendments apply to amounts paid or distributed after the date of enactment.