Quote:
Originally Posted by retiredguy123
Every time I have done the math for a Roth conversion, I reject it because it just doesn't make sense. Roth conversions are rarely a good idea. One thing I will mention is that, if you ever need assisted living or a nursing home, you can use your traditional IRA funds and take a huge medical tax deduction, thereby avoiding income tax on a large part of your traditional IRA.
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Agreed that its not for everyone. IRMMA doesn't kick in for a married couple with two max SS incomes until about $3.0M in an IRA. Then the RMDs can push you into the IRMMA tax brackets. We don't have that much either to consider a ROTH conversion, although we will do a pension payout ROTH rollover just because we can. . and we will feel good about it, whether its perfect financial sense or not. . (basically don't want to feel left out!) and less taxes might help out someday if tax laws change
Anyway, enough on this topic, been thoroughly discussed ad nauseum!