Short YouTube advice by Craig Wear, CFP® explaining a common timing mistake: Roth conversions must be completed by December 31, 2025 to count for the 2025 tax year, whereas Roth contributions can be made until April 15, 2026. He warns custodial processing deadlines and advises completing conversions before year-end to avoid losing tax benefits.
The biggest mistake people make with Roth conversions. They think they can convert right before the 2026 tax deadline and still have it count for 2025. No, it doesn't work that way. Roth contributions. You have until April 15, 2026. Roth conversions must be done, finished, completed by December 31, 2025. No exceptions. So if you want that conversion to apply to 2025, make sure it's processed before the end of the year. And many of the custodians, because they're just crammed full of requests or the end of the year, they have specific dates. You got to make sure you don't miss the date, because if you miss the date, you miss the benefit. Know the rules. Don't let the calendar technicality cost you thousands of.
