Laura Saunders

speaker

5,937 appearances 109 recordings 1 series first heard Jul 2017 last heard Nov 2024

Laura Saunders’s voice in public audio — every appearance, attributed to the second.

Trend

recordings per month · last 12 months

No recordings in the last 12 months.Older appearances are listed below; set an alert to hear about the next one.

Appearances

newest first · ▶ plays the moment

WSJ Your Money Briefing · Should You Convert Your IRA Retirement Savings to a Roth IRA? · 27 Jun 2022 podcast

There's no taxes paid annually. voice-verified

So the buildup is tax-free. voice-verified

However, with a traditional IRA, you get a deduction on the money when it goes into the account. voice-verified

And then when you take money out of the account in retirement, it's taxable at ordinary income rates like wages. voice-verified

What happens with a Roth IRA is that the money goes in after tax, but the growth is tax-free and the withdrawals can be tax-free as well. voice-verified

So if you make some great investments and it builds up over a long period of time, that's a nice bunch of tax-free withdrawals you're looking at. voice-verified

I think we need to be clear that it's not always a great idea to do a Roth conversion. voice-verified

But when the market is lower, you are moving assets that have potential for appreciation, assuming the market goes up, into a tax-free account. voice-verified

So it's not that you should do a Roth IRA conversion now, but you shouldn't forget about one. voice-verified

It's a good time to check and see if it makes sense. voice-verified

Well, to get a Roth IRA, you go to your provider, probably the one that has your traditional IRA, although it could be someplace else. voice-verified

A lot of times those are big outfits like Fidelity or Schwab or Vanguard or BlackRock or something like that. voice-verified

Then you say to them, I would like a Roth IRA, please. voice-verified

And they set up an account for you. voice-verified

And then you tell them that you want to convert X amount from your traditional IRA to your Roth IRA. voice-verified

And it's also important for people to understand that you don't have to convert an entire Roth IRA. voice-verified

You could do conversions one piece at a time. voice-verified

In fact, this is what many experts recommend to people who are going to do conversions. voice-verified

You do small pieces year by year and to fill up the bracket buckets, as it were, voice-verified

so that you don't take out income that pushes you into a higher tax bracket and makes the conversion a worse idea. voice-verified

Showing 1181–1200 of 5,937 · page 60 of 297