Roth Conversion Planning
A decision today.
A longer view of tomorrow.
A Roth conversion is a planning decision with a current tax cost. We help you consider whether it fits your retirement income, available cash, and longer-term priorities.
Schedule a Roth Conversion Review
The central tradeoff
Paying tax now may or may not fit your plan.
Compare before you convert.
Converting untaxed traditional IRA amounts to a Roth IRA generally creates taxable income in the conversion year. Qualified Roth IRA distributions can be tax-free when the applicable requirements are met.
The potential benefit depends on factors such as current and future tax circumstances, the time available, and how conversion taxes will be paid. A conversion is not automatically beneficial, and a completed conversion cannot be reversed through recharacterization.
Questions we consider
Make the assumptions visible.
How much, and when?
Compare the effect of a conversion amount and timing with other income and planned withdrawals.
How will taxes be paid?
Evaluate available cash and the effect of paying conversion taxes on the rest of your finances.
What else could change?
Consider retirement spending, future tax uncertainty, family priorities, and the possibility that assumptions will differ from actual results.
A coordinated review
Your investment plan and your tax professional.
Roth conversion planning is included in the advisory fee for UAA investment advisory clients. Roth conversion planning for people who are not UAA investment advisory clients is available for a separate fee, with scope and pricing discussed before engagement. We may coordinate with your CPA so conversion decisions can be considered alongside your overall tax situation. UAA does not prepare tax returns or provide tax advice.
An introductory Roth Conversion Review uses the same coordinated advisor-led consultation process as a Clarity Review. This introductory conversation is separate from a full Roth conversion planning engagement. The scope of analysis and next steps depend on the information available and your circumstances.
Background: IRS IRA and conversion FAQs · IRS Roth IRA overview.
Further reading
Put the decisions in context.
Explore the numbers
Put your assumptions in perspective.
Start with a conversation