We are now able to convert our previous retirement contributions to Roth regardless of our income, including contributions made years ago. With the caveat that those taxes must be paid from our own personal savings.
So if you have 100k and you convert you must now pay government something like 35-37k*- I don't know the exact taxed amount I figure that would vary.
Isn't this is the government just asking for more Money now!? Meanwhile promising in the future there will be no tax on the withdrawals... and why does my gut tell me something is off here.
That being said I'm even questioning should I invest in retirement anymore anyway. I'd rather have the funds now which I can utilize in whatever market/fund of my choosing.
All opinions and thoughts are welcomed on the matter
Don't know the future. I passed on transferring after deciding it wasn't a really good deal in my situation years ago. If you have a long time horizon, and trust in your skillset, could be a good idea depending on that marginal tax bracket. It would actually have been a good idea when the TJCA passed in my particular situation. Now, don't care to bother.
Look online, there were calculators that could assist in the evaluation.
"You can observe a lot just by watching"
Yogi Berra
“The best lies always contain a grain of truth”
Joakim Palmkvist
PuppBaby wrote: ↑Fri Dec 15, 2023 4:38 pm
Anyone else think this is a red flag of sorts?
We are now able to convert our previous retirement contributions to Roth regardless of our income, including contributions made years ago. With the caveat that those taxes must be paid from our own personal savings.
So if you have 100k and you convert you must now pay government something like 35-37k*- I don't know the exact taxed amount I figure that would vary.
Isn't this is the government just asking for more Money now!? Meanwhile promising in the future there will be no tax on the withdrawals... and why does my gut tell me something is off here.
That being said I'm even questioning should I invest in retirement anymore anyway. I'd rather have the funds now which I can utilize in whatever market/fund of my choosing.
All opinions and thoughts are welcomed on the matter
ON PLANNING
Long-range plans engender the dangerous belief that the future is under control.
It is important never to take your own or other people's long-range plans seriously. The Zurich Axioms
I appreciate that this is an oblique, not-very-useful comment, but I believe it does have validity.
By all means make efforts to maximise LT wealth and minimise taxation and so on, but bear in mind that the future is uncertain.
