How to Make Sure Your Roth Conversion Doesn't Backfire
Before jumping in, do the math.
Overview
There's a big downside to having money in a traditional IRA or 401(k). Not only are distributions from these retirement plans taxable, but you'll eventually have to take funds out of your account even if you don't want to.
Once you turn 73 or 75, depending on the year you were born, required minimum distributions (RMDs) begin. Those could be a huge tax headache if they're substantial.
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Details
Source
Originally published at www.fool.com.
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Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.