Craig Wear, CFP®Craig Wear, CFP® | Expert in Roth Conversions & Tax-Efficient Retirement Strategies for IRA Millionaires

Maximizing Tax Savings with Strategic IRA to Roth Conversions

16 Jun 2024 · 0 min

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Craig Wear, CFP® advises that blindly deferring taxes via traditional IRAs can create future problems for people with large IRA balances. He recommends proactively converting IRAs to Roth accounts strategically—choosing the tax rate and timing yourself—rather than leaving the decision to chance or IRS required distributions/tables.

A lot of people also think that they should just keep deferring taxes as long as they can. That's just a lot of problems coming down the road at you later. There is a point in everyone's life, if you have larger IRA balances, where the only way you continue to save taxes is to flip the story and to begin strategically converting your IRA to a Roth at the tax rate you choose and the time frame you choose, as opposed to just leaving it to chance and time and the IRS tables to do that.