Planning Matters Radio

Should I Consider a Roth Conversion before I Stop Working?


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Roth Conversions can be one of the best strategies to create tax-free income in retirement. And those accounts can grow tax-free indefinitely because they don't have required minimum distributions. In this video, Peter with Richon Planning and Erin Kennedy talk through the pros and the cons of converting your tax deferred accounts to Roth accounts while you're still working.

Keep in mind, when you convert those funds, you'll need to pay the taxes upfront, and it's best if you can pay that bill in cash (pro: if you're working, you may have more financial flexibility). But keep in mind, those dollars are also counted as taxable income, which, without proper planning, could push you into a higher tax bracket.

There is no cookie-cutter answer to this question; the answer will depend on your current tax bracket, your projected future tax bracket, and your unique financial circumstances. If you'd like to crunch the numbers with Peter, please call (919) 300 - 5886 or visit www.RichonPlanning.com

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Planning Matters RadioBy Richon Planning

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