However, several links to the Hixon Zuercher Capital Management website are found on this site and Hixon Zuercher Capital Management provides investment management services. The author does not intend to provide investment advice through this site and does not represent that the securities or services discussed are suitable for any investor. Investors are advised not to rely on any information contained in the site in the process of making a fully informed investment decision.
Some information found on this site was gathered from sources that are believed to be reliable but the author has not validated all of the content. While the author will seek to provide accurate and timely information, and rely on sources believed to be reliable, the site may include inadvertent technical or factual inaccuracies.
The author does not warrant the accuracy or completeness of the materials provided, either expressly or impliedly, and expressly disclaims any warranties or merchantability or fitness for a particular purpose. Decisions based on information contained on this site are the sole responsibility of the user, and in exchange for using this site, you agree to hold Jessica Hinks and her affiliates harmless against any claims for damages arising from any decision you make based on such information.
Neither Jessica Hinks nor any related parties will be liable or have any responsibility for any loss or damage that you incur in the event of any failure or interruptions of this site, or resulting from the act or omission of any other party involved in making this site or the data contained in it available, or from any other cause relating to your access to, inability to access, or use of the site or these materials.
The author reserves the right to withdraw or prohibit access to the site, and to revise the software, materials, information and the services and products described in this site, at any time, without notifying users. Nor is it intended as investment, tax, financial or legal advice. Investors should seek such professional advice for their particular situation. This site is published in the United States for residents of the United States.
Investors outside of the United States are subject to securities and tax regulations within their applicable jurisdictions that are not addressed on this site. Nothing on this site should be considered a solicitation to buy or an offer to sell shares of any investment in any jurisdiction where the offer or solicitation would be unlawful under the securities laws of such jurisdiction. The money taken out of your IRA to pay conversion taxes would be considered a distribution. This could result in even higher taxes in the year you convert.
You'll lose the chance for that money to compound and grow tax-free in your IRA—which means less money when you need it in retirement. Contact us. The snowball effect that happens when your earnings generate even more earnings, not only on your original investments, but also on any interest, dividends, and capital gains that accumulate. That means that your "money makes money" and can grow faster over time. All investing is subject to risk, including the possible loss of the money you invest.
Skip to main content. Open your IRA in 3 simple steps. Review the rules for IRA withdrawals. A conversion can get you into a Roth IRA—even if your income is too high The conversion would be part of a 2-step process, often referred to as a "backdoor" strategy.
But make sure you understand the tax consequences before using this strategy. Apply market research to generate audience insights. Measure content performance. Develop and improve products. List of Partners vendors. Retirement Planning IRAs. Part of. Making Contributions. Making Withdrawals. Table of Contents Expand. Table of Contents. Am I Near Retirement? Can I Afford the Taxes?
By Melissa Phipps Full Bio LinkedIn Twitter Melissa Phipps is a retirement planning and investing expert who has covered those topics for more than 20 years as a writer, editor, and author.
Learn about our editorial policies. Reviewed by Roger Wohlner. Article Reviewed April 30, Roger is a veteran financial advisor with more than 20 years of experience and a personal finance writer. Of course, that only reflects one example and one conversion. If you do several conversions over multiple years then this would apply to each conversion you do during a down market. You could also convert a larger percentage of your portfolio.
This example simply serves as an illustration to show you how it works. Be mindful if you are building a Roth Conversion Ladder to prepare for an early retirement.
0コメント