Roth conversion tax
Does it make any sense to pay the tax on a Roth conversion from an existing Roth account ? I don’t have any cash to pay the tax on a conversion. This way I would get the full amount of the transfer put in to a Roth account.
Terry Says
Wait, what?? I don’t understand your question. If you already have a Roth account, you don’t have to do a conversion. Are you talking about moving it to a different custodian? That is done by a direct rollover. For example, if you want to move your account to Fidelity or Vanguard because you like their low-cost investment options, just contact them and they will move it directly. There is no tax involved.
If this doesn’t answer your question, please write back.
