Investing - Theory, News & General • Re: Roth Conversion strategy feedback?

You can let that growth happen in Roth instead and let compounding work for you.

This can be a reasonable way to get ahead of future RMDs. Also, remember that a "down market" is a good time to convert since share prices are lower then. The bigger the loss, the more you will save on taxes.

This is not correct - and reflects an all too common fundamental misunderstanding of the math of these accounts.

It makes no difference when you convert, if the tax rate is the same the end outcome is the same.

While you're technically correct, the earlier you convert at a reasonable tax rate, the better since it's likely to have a larger impact on the size of the growing tIRA balance.

Also, time is a factor when paying the conversion taxes out of the taxable account since it reduces future tax drag as described in this Vanguard paper: https://corporate.vanguard.com/content/ ... 072025.pdf

Statistics: Posted by murrays — Thu Aug 27, 2026 4:37 pm