Craig Wear explains how to convert traditional IRA money to a Roth by filling up your current tax bracket without jumping to a higher one. The strategy works best if you have smaller IRA balances or are taking large withdrawals, and it saves money if tax rates rise before you retire.
And so if you've done your own spreadsheets, and your own spreadsheets tell you that you need to convert at just to the top of your current tax bracket, then either you have less than a million in your ira, or you're spending a lot of money out of your ira, or there's something wrong in some of your assumptions. And maybe I can help you with that as this time goes on. And if not, then maybe we can help you with your own game plan. But if you want to optimize your Roth conversion strategy, you it really makes sense. And you end up saving a lot of money to get even. If you got to pay a higher tax rate now than later, you're better off to get that done.
