5 Situations When You Should NOT Implement ROTH Conversions!
HTML-код
- Опубликовано: 12 июн 2024
- Interested in a custom strategy to retire early? →
vwo3759x8i7.typeform.com/earl...
Get access to the same software I use for my clients and join the Early Retirement Academy here → ari-taublieb.mykajabi.com/ear...
Roth conversions are a clever move used by many retirees and early retirees to get ROTH IRA benefits, and they are part of their effective tax strategy!
While ROTH Conversions is a good choice, there are specific situations in which they might not be the best move.
In today's video, we will discuss five Situations where you shouldn't implement Roth conversions.
------------------------------
Time Stamp
00:00 Intro
01:49 Don't Overdo In Tax Strategies.
02:58 Tax brackets for retirement planning
04:09 Do Not Sacrifice Your Life for Roth Conversions
04:33 Weekly review
06:01 The Cauliflower Analogy for Roth Conversions
07:32 Situation 1
09:57 Situation 2
11:30 Situation 3
12:52 Situation 4
13:06 Situation 5
13:11 Final Example To Summarize
16:35 Conclusion
17:40 Work With Us
------------------------------
eBook: The Complete Guide To An Early Retirement (FREE)→
rootfinancialpartners.com/ear...
eBook: The Complete Guide To Health Insurance (FREE)→
rootfinancialpartners.com/hea...
Early Retirement Expense Calculator (FREE) → rootfinancialpartners.com/cas...
PODCAST - earlyretirementpodcast.com/
INSTAGRAM - / earlyretirementari
LINKEDIN - / aritaublieb
What video topic would you like to see discussed in a future video?
Ari Taublieb, CFP®, MBA, is the Vice President of Root Financial Partners (Fiduciary) and host of the Early Retirement Podcast.
------------------------------
📣 Are you taking advantage of tax planning before 2026? Most people hoping to retire early know they're leaving money on the table but don't know how to fix it.
👉 Subscribe to our channel and press the bell icon.
-----------------------------
⚠️ "DISCLAIMER:⚠️
All content is not to be received as financial advice, and each individual should consult with their dedicated financial planner, tax preparer, estate attorney, etc., before making any financial decisions.
This video contains content I created and got permission from its creators to use. This Channel DOES NOT Promote or encourage Any illegal activities; all contents provided by This Channel are meant for EDUCATIONAL AND ENTERTAINMENT purposes only.
![PADDINGTON IN PERU - Official Trailer [4K] - Paddington Bear is back!](http://i.ytimg.com/vi/lKgitu25ZAg/mqdefault.jpg)
There was no mention of married couples and Roth strategies. Married couples really need to coordinate their retirement finances to maximize after tax income for them as a couple and more importantly for the surviving spouse after the death of one.
I have an episode coming out specifically on this in the future, but in the meantime this podcast by my partner should be what you’re looking for: ruclips.net/video/oEqhlPZjcIs/видео.htmlsi=uRgx02JUVX-YWqJA
Financial celebrity death match. Ari vs. James.
Great content and style Ari - thanks for sharing your knowledge!
Thank you!
Roth conversions can also factor into Legacy Planning depending on the situation and desires. It is factoring into my planning.
Great video as always Ari!. For the scenario of taking advantage of a down market, What are your thoughts regarding when you have all/most of your bonds filling your pre-tax IRA (due to your asset allocation as well as asset location to control future RMDs)?. You know you still need to do more Roth conversions to lower RMDs but your IRA balance may remain relatively stable during the downturn since it is mostly bonds. Doing small conversions over many years (already am in early retirement) may also not be ideal due to trying to control current ACA subsidies, as well as deferred comp that will start distributing a few years from now. Thanks!
Thank you. This video may help: ruclips.net/video/WeDKlxfLCXw/видео.htmlsi=0EeOufPg1_Ko1ChB
You better watch out Ari, all the other RUclips financial planning guys are going to come after you. Doing a conversion before 2026 has to be done or you're going to pay way too much in taxes later on, no exceptions. Thanks for pointing out the exceptions.
Ha! Thank you.
Should I consider Roth conversions if I move to a no tax state like south Dakota?
There are still federal taxes so it’s worth considering.
Reason #6 your retirement contributions are 100% Roth IRA/Roth 401k. For now I only have to worry about my employer contributions being converted to Roth.
But if I have the Roth, that’s when RMDs aren’t an issue, correct?
Correct!
With our national debt ceiling growing by leaps and bounds along with a very greedy congress, all of us will be in higher tax brackets. Also, RMD’s, depending on your IRA account balance, could also push you into a higher tax bracket and trigger IRAMMA and increase tax on your social security.
Should Biden’s current tax proposal become law Roth conversions will be forbidden in many cases, forcing everyone into big RMDs and possible IRMAA penalties.