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Originally Posted by UteChief
Curious what people think of ROTH conversions, I’m not sure it’s advisable in most situations, but would like to be “convinced” just for discussion.
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Not sure how old you are but think of it this way…it seems more likely than not that tax rates will be higher in the future so paying presumably lower taxes today will benefit you in the long run. As it currently stands the existing TCJA tax cuts are sunsetting in 2025 so keep that in mind. In addition, there are other factors to take into consideration like reducing future RMDs, building a legacy pool for kids, having greater tax flexibility in retirement planning, etc. Lots of potential benefits that most people would agree on. Does this mean you should convert a massive chunk of pretax dollars to your Roth? No of course not; it’s best done incrementally and when you have some tax flexibility. Most clients I work with like having different buckets of money in retirement.