Reported 23 days ago
In this article, financial expert Brandon Renfro discusses the implications of a Roth conversion from a traditional IRA involving $250,000, primarily focusing on the tax responsibilities incurred during the process. The IRS allows taxpayers to pay the taxes either from the converted funds or external sources, but utilizing external savings is generally more beneficial for maximizing growth within the Roth IRA. The piece also highlights potential penalties for early withdrawals from the IRA, particularly for account holders under 59 ½, and emphasizes the importance of consulting a financial advisor for tailored retirement planning.
Source: YAHOO