In Roth Conversions, Reducing Your RMD is One of the Benefits
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Required minimum distributions are taxed as taxable income, the same as other types of traditional IRA withdrawals and Roth conversions.

In Roth Conversions, Paying the Tax is One of the Benefits
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Taxes related to traditional IRA withdrawals only happen once. Meanwhile, the funds in your taxable account are subjected to taxation each year.

529-to-Roth Rollover Contribution Available in 2024 (Secure 2.0)
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This new rule says that the account owner can distribute funds from a 529 plan directly to the designated beneficiary’s Roth IRA and have the rollover “be treated in the same manner as the earnings and contributions of a Roth IRA” (meaning no taxation).

What Interferes With a Backdoor Roth?
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Here are three common Roth transactions and how they interact with MAGI for Roth IRA purposes.

Q&A: Roth Conversion When Traditional IRA is 90% of Net Worth?
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Because so much of your net worth is in traditional IRA, how quickly you expect to withdraw from your retirement account assets will heavily influence how quickly or slowly the math would advise that you convert.

The Difference Between Roth Conversions, Contributions, and Deferrals
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It is important to know the difference between these techniques to make sure you are maximizing your retirement savings.  

Do Large Roth Conversions Require Backdoor Roth Contributions? (2021)
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Luckily for Roth lovers like us, you don’t have to choose between Roth conversions or Roth contributions.

Am I Limited to Only One Roth Conversion Per Year?
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Most people are able to do direct rollovers from a traditional IRA to a Roth IRA. In this way, most people can do any number of Roth conversions in one twelve-month period.

Four Simple But Effective Conversion Target Calculations
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Doing some conversion is usually much better than doing no conversion at all. We offer these four simple but effective strategies to calculate a good-enough conversion target for this year.

How Roth Conversions Affect Your Contribution Basis
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In the eyes of the IRS, Roth conversions are a type of rollover and their part in your Roth IRA’s contribution basis is called a rollover contribution.

Video: The Value of Systematic Roth Conversions
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In this talk, David demonstrates how Roth conversions can be extremely valuable even if a client is always in the same tax bracket.

Q&A: Can I Make a Prior-Year Roth Conversion This Year?
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Alas, the year you move the funds from traditional IRA to Roth IRA is the year that those assets are taxed.

Q&A: Are There Any Restrictions on How Much or Who Can Convert to Roth?
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Taxpayers of any income level, age, and employment or retirement status can convert their pre-tax individual retirement assets to Roth IRA.

A Guide to Your In-Plan Roth Conversion at RiversEdge
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The form is amazingly straightforward. Once the paperwork has been processed though, it can be difficult to find out how much was converted.

Q&A: Can I Undo My Roth Conversion? (2020)
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Unfortunately, as part of the Tax Cuts and Jobs Act back in December 2017, Congress eliminated the ability to undo Roth conversions, so there isn’t a way to undo a conversion.

If You Act Fast, You Can Undo Your 2020 RMD Thanks to the CARES Act
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Among the temporary measures, Congress waived required minimum distribution (RMD) requirements for only tax year 2020.

Roth Conversions are More Valuable During Bear Markets
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Convert something today. Convert because the markets are down, or maybe convert just because you likely won’t regret it in 30 years when the markets will likely be up a lot more than they are now.

Q&A: Can I Do a Backdoor Roth and a Reverse Rollover to a 401(k) In the Same Year?
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This person has an IRA balance, but is about to empty it with a reverse Rollover. So the question is one of timing: can they do the IRA Rollover before the nondeductible contribution so that their cream and coffee never mix?

Help! I Inherited a Nondeductible Basis!
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If you inherit a traditional IRA from a person who had a basis in the IRA because of nondeductible contributions, that basis remains with the IRA assets as they come into your ownership.

Q&A: Should I Donate QCDs When I Have a Nondeductible Basis?
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Luckily for the charitably-inclined individuals with nondeductible balances, QCDs are excluded from your Form 8606 taxable and nontaxable calculations.

Q&A: Can Single Filers Benefit From Roth Conversions?
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There are several ways that a Roth conversion benefits people regardless of their filing or marriage status.

Q&A: Do You Offer Roth Conversion Planning for Someone Who Is Not a Client?
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Kudos to you for noticing the value of Roth conversions! We have three ways we can help.

The 30-Year Value of a Single Roth Conversion
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Thirty years of interest, dividends, and capital gains tax is a significant savings.

Q&A: Can I Do Backdoor Roth and an IRA Rollover In the Same Year?
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This person has no IRA balance, but is about to get one with an IRA Rollover. So the question is one of timing: can they do the IRA Rollover after the nondeductible contribution has already been converted so that their cream and coffee never mix?

Roth Conversions and the Virginia Age Deduction Phase-Out
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Federal AGIs between $75,000 and $99,000 of couples over age 65 begin to lose this age-based special treatment and lose the tax savings they had at lower income levels.

Two Simple But Effective Conversion Target Calculations
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These are two simple but effective strategies to help calculate a very good conversion target for this year.

Three Hidden Roth Conversion Opportunities
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Even the most Roth-loving individuals may have hidden Traditional assets that they do not know they can convert to Roth. Here are just a few places to look.

Why the Tax on Your Roth Conversion Hurts So Much
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Be brave. Fund your Roth. Convert your IRA. Pay your tax bill. Your future self will thank you.

Do Large Roth Conversions Require Backdoor Roth Contributions? (2017)
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Luckily for Roth lovers like us, you don’t have to choose between Roth conversions or Roth contributions.

Optimizing Roth Conversions Requires Sophisticated Analysis
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“A conventional wisdom withdrawal strategy will almost always leave a lot of money on the table.”

You Can Still Do A Backdoor Roth After the Tax Cuts and Jobs Act
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Under the Tax Cuts and Jobs Act, you are still allowed to make nondeductible contributions and still allowed to convert IRA assets to Roth IRA.

IRS Ruling: Recharacterizations of 2017 Conversions
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On January 18, 2018, the IRS updated their Frequently Asked Questions page to come into line with the new Tax Cuts and Jobs Act.

Don’t Delay Roth Conversions
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Putting money in your Roth without delay is valuable.

No Roth Recharacterizations After 2017?
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It is an inconvenience during the holiday season to say the least, but Roth conversions are worth the effort.

Where is Your Priority: Tax Preparation or Tax Planning?
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At our firm, tax planning is our priority. We hope to maximize after-tax net worth over your lifetime, even if it is at the expense of this one year.

Understanding the 5-Year Holding Period, Roth Conversions, and Exceptions
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To avoid the 10% penalty, do I have to satisfy the 5-year holding period for my Roth conversions if I’m over age 59 1/2? The IRS is not very clear when it comes to when you need to pay penalties on Roth IRA withdrawals, but I think I know the answer.

Value of a Roth Segregation Conversion Strategy
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While most investment advisors do one total conversion or partial conversion here or there, we have a dedicated Roth segregation strategy, which adds real value to our clients accounts.

When You Should Not Do a Backdoor Roth
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Like how diner coffee gets more bitter as the waitress tops off your cup with more coffee from the pot, so too the growth on your nondeductible assets increases your tax owed by decreasing the percent post-tax assets in your cup.

Our Customized Roth Conversion Recommendations
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I have learned there are so many more wise plans than just “top of the bracket” conversions.

Q&A: What’s My Roth Conversion Limit?
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The legal answer to this question is: there is no limit. The practical answer is: it depends on a number of things.

Roth Recharacterization: May Change Your Required Minimum Distribution
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A Roth recharacterization is a true undo; it is as though you never converted those assets in the eyes of the IRS. This includes recalculating your RMD had you not converted the assets.

Roth Conversion: Take Your Required Minimum Distribution Out First
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A simple summary of how to meet your Required Minimum Distribution in the same year as you perform a Roth Conversion is the axiom: RMD dollars must come out first.

Qualified HSA Funding Distribution
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There is an obscure tax rule that allows a one-time Traditional IRA-to-HSA conversion called a Qualified HSA Funding Distribution (QHFD).

What is a Roth Conversion?
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If you don’t have retirement savings in Roth IRAs, it’s time you considered their benefits. Assets in traditional IRAs can be rolled into Roth IRAs without a withdrawal penalty.

How Roth Conversions Are Reported to the IRS
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The Internal Revenue Service (IRS) is notorious for misunderstanding the recharacterizations of Roth conversions.

When Are Taxes Due On A Roth Conversion?
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Any tax which is ultimately going to be owed is owed by April 15th. Otherwise it may be subject to interest and penalties.

What is a Backdoor Roth?
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Even over the income threshold, you may still be able to add funds to your Roth IRA with what is called a backdoor Roth.

Mailbag: Is There An Advantage For Me To Do A Roth Conversion?
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My wife and I are 65 years old and I am newly retired. Is there any advantage in doing a Roth conversion this year?

Will Roth Conversion Affect My Estimated Tax Payments?
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Roth conversions are a great way to save money and if you have a good financial planner, they need not be a headache.

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