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Thread: Roth IRA Conversions- Age 71
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Old 09-21-2024, 07:18 AM
retiredguy123 retiredguy123 is offline
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Originally Posted by Cbriggi View Post
We were on the phone yesterday with our financial advisor and CPA discussing this exact situation. There are many factors to consider - including beneficiaries.

First - talk with a financial advisor! There are pros and cons you have to calculate. A decent firm will have a CPA available (don’t trust just a FA to tax laws). Most will do it gratis as they want you for a client.

Second - Timing. If conversions are advised based on your situation, it is best to wait for a downturn in the market. Sell low from traditional IRA and invest low in ROTH. Think paying tax on a value of 75% vs. 100%

Third - Realize the future is uncertain around any changes to tax laws (oh well they definitely will change but not in our favor.)

Again pros and cons to this but having assets post tax that grow tax free is awesome!

YMMV
I would only take issue with your No. 2. If a CPA or a financial advisor claims that they can "time" the stock market, I would not have much confidence in their advice.