Good presentation because it provides “food for thought” but they should point out, and even emphasize, the following points regarding large conversions to a Roth:1. It assumes marginal tax rates will go up over time. That’s a BIG assumption and they should point out that it is indeed JUST an assumption. If it turns out that marginal tax rates, especially at the low income end, do NOT rise significantly over the next 20 years, their entire thesis is null. 2. An IRA to Roth conversion will negatively affect certain taxpayers’ “Premium Tax Credit” for 2022 as computed by IRS Form 8962 if they purchased a plan through a Health Insurance Marketplace/Exchange and didn't account for that conversion when they estimated their income at time of application. 3. A large conversion would push some into a higher marginal tax bracket, increasing their taxes for 2022 and/or 2023 and dealing a huge immediate blow to their net worth. They have to be willing to accept that in exchange for paying less taxes in the future. Having said all this, I am certain that many people would benefit from a one-on-one consultation with them.
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