If you’ve spent any time researching retirement taxes, you’ve heard the pitch: your IRA is a ticking tax bomb, required minimum distributions will crush you in your 70s and 80s, and you need to convert now before it’s too late. My advice is simpler. Don’t do Roth conversions until you’ve tested whether the problem is real and what solving it costs.

Roth conversions can be an excellent long-term strategy. They can also waste time and real tax dollars. The difference comes down to two separate questions:

• Will your future withdrawals, combined with your other income, create a tax cost worth reducing?
• Can you convert this year at a price that makes paying now worthwhile?

A future tax bill doesn’t automatically answer the second question. The goal isn’t the smallest RMD. It’s the best after-tax outcome.

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This does not constitute an investment recommendation. Investing involves risk. Past performance is no guarantee of future results. Consult your financial advisor for what is appropriate for you. Disclosures: https://onedegreeadvisors.com/solutions/#disclosures