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Deciding between a traditional individual retirement account (IRA) and a Roth IRA can be difficult. Choosing when or if you should convert your IRA funds to a Roth account can be even more daunting.
November 25, 2024 at 1:07 PM. A Roth IRA is the best retirement account around, according to many experts. ... A Roth conversion can be a good option for those making too much to get a Roth IRA ...
Transferring some of your retirement savings from a tax-deferred account like a 401(k) to a Roth IRA can help you reduce or possibly avoid required minimum distributions (RMDs) and income taxes ...
(Single filers with incomes over $161,000 and married couples filing jointly with incomes over $240,000 in 2024 can’t contribute to a Roth IRA.) This conversion strategy is known as a backdoor ...
However, a Roth conversion also comes with immediate tax consequences that require careful planning. Read Next: Suze Orman’s Top 5 Tips That Will Save Retirees From Financial Disaster.
With the end of the year approaching, many Americans are considering a Roth IRA conversion to take advantage of certain tax benefits. Conversions during the 2024 second quarter rose 46% from the...
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