Personal Investments • Roth conversion or not?

I have no Roth holdings now at all.

I would open a Roth account today. Just to get the 5 year clock running. If the account is open for more than 5 years, and you are over 59.5, all withdrawals are "qualified". AKA tax free.

I think everybody over 54.5 should have a Roth account. Just in case they want to use it one day. But I could be wrong . . .

edit: You were posting while I was. With your high income you can probably not directly contribute to a Roth account. But you could likely convert some of your IRA. Open a Roth account. If nothing else, it lets you see what the resulting tax forms look like. I'd do $1000 dollars to start with. $1 might qualify you, but might not be big enough to generate a tax form. Part of the learning process is seeing the tax forms IMO.

Roth accounts are open now for me and wife, with a $0 balance in each.

Is a conversion as simple as moving funds from a tIRA to the Roth, or is it more complicated?

Statistics: Posted by dknightd — Thu Jul 18, 2024 11:19 am — Replies 61 — Views 3450