[Haggar]

Originally Posted by Boomer

Looks like there are lots of mixed messages in this thread.

Investopedia has a detailed article titled titled “What is the Roth 5-Year Rule? Withdrawals, Conversions, and Beneficiaries.” — Go forth and find that article if you have questions because according to it, there is a “trio of 5-year rules.” Be sure you understand what those are.

Converting to Roth early in retirement — when income might be lower — but before RMD age — can be a good thing to do.

If you convert young enough, years later, you can tap that money for yourself, tax free. If converting later — I think people do that sometimes for estate purposes.

If you wait to convert until RMD age that might get a little tax heavy on the conversion going into the Roth because you have to pay for the RMD first anyway, so make sure you don’t need the conversion money in your pocket immediately.

And if you do conversions before RMD age, you can lessen your RMD taxes down the road.

Whatever you do, know the official tax rules and do not forget that most advisors are not tax accountants.

Boomer

As a tax advisor I would second that last thought. Investment advisors I have have worked with know practically nothing about retirement plans or withdrawal requirements or taxability. They're unaware there's a window wherein capital gains may be taxed at a zero rate. They are especially unaware of Qualified Charitable Donations from retirement accounts. They're nice people and they provide services for investors but tax advice should be not be one of them.