Reported about 20 hours ago
A 62-year-old woman contemplates converting $100,000 annually from her $1 million 401(k) to a Roth IRA to avoid hefty taxes from required minimum distributions (RMDs) starting at age 73. While Roth IRAs offer tax-free growth and no RMDs, the upfront tax burden from the conversion needs careful evaluation. Adopting a staggered conversion approach can help manage tax implications and provide greater long-term financial flexibility.
Source: YAHOO