I agree, Timmar misunderstands the Roth conversion feature. He said Pralana is "suggesting" conversions contrary to his instruction of 24%. That comment does not make sense. If you enter a constraint such as fill the 24% bracket, that's what Pralana does -- it won't suggest anything or optimize anything. It will just show you the results you get by filling up 24% as instructed.Regarding the optimization for Roth conversions, I think you are not understanding how this feature works.
Only when you press the optimize button will Pralana come up with its own set of constraints. And it will show what those constraints are, by year. When it does its optimization, it replaces the previous Roth conversion constraints with the optimized ones. And of course that means it will not be limited to 24%. And if it is filling up to 35%, that may be a good indicator that Timmar has set up his inputs so that Pralana is chasing better returns in the Roth. This is the previously mentioned Pralana Roth newbie problem. I had the same issue at first. It's an input problem that can be fixed by by using Mode 2 for the portfolio model.
Statistics: Posted by MoreTaxes — Tue Oct 22, 2024 12:55 am — Replies 86 — Views 6644
