Is There a Right Way to Make a Roth Conversion?
by Sean McDonnell, CFP®, NSSA, Financial Adviser, Advance Capital Management
Sep 28, 2018
4 minutes
A commonly recommended strategy for reducing your tax burden and the impact of required minimum distributions (RMDs) is a Roth conversion. You'll have no trouble finding information on why you should consider converting pretax IRA money to a Roth IRA in a low-income year. Simply put, a Roth IRA lets people at least age 59½ withdraw money tax free and is not subject to RMDs. But, what may be harder to find is a demonstration of how to fully maximize a Roth conversion's potential benefits.
Keep in mind though, each person's financial situation is different, meaning a Roth conversion doesn't make sense for everyone. Since you must pay income taxes on the amount you convert to a
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