d****s
发帖数: 174 | 1 Sorry I can't type Chinese now.
Questions:
I have a rollover IRA account (pre-tax) in a company and want to transfer/
rollover it to Vanguard Roth IRA. Will it be easily a big loss if the market
is lower at the time to transfer out than the time to rollover in? I plan
to do it three times in the follow 3 years to avoid significant increase of
the tax, does it sound reasonable? Thank you for any suggestions! | r****m
发帖数: 1204 | 2 I am not sure I understand your questions clearly, but here are two comments
-
1. It's beneficial to convert when the market is low - so you pay less tax
and have more potential for tax-free gains later.
2. Whether to complete the conversions in 3 years or not should depend on
your tax situation for the year - as you said, the goal is not to push your
tax bracket to one upper level due to the conversion. | d****s
发帖数: 174 | 3 Thank you! Yes, I think convert at low market is better tax wise; the only
negative side maybe if you buy in at high, lose money at the market.
My tax rate may jumps higher three years later. Thank you for your reply.
comments
your
【在 r****m 的大作中提到】
: I am not sure I understand your questions clearly, but here are two comments
: -
: 1. It's beneficial to convert when the market is low - so you pay less tax
: and have more potential for tax-free gains later.
: 2. Whether to complete the conversions in 3 years or not should depend on
: your tax situation for the year - as you said, the goal is not to push your
: tax bracket to one upper level due to the conversion.
| d****s
发帖数: 174 | 4 An important question:
If I move to a tax free state next year and transfer after that, will the
conversion to Roth IRA state tax exempt? Thank you!
comments
your
【在 r****m 的大作中提到】
: I am not sure I understand your questions clearly, but here are two comments
: -
: 1. It's beneficial to convert when the market is low - so you pay less tax
: and have more potential for tax-free gains later.
: 2. Whether to complete the conversions in 3 years or not should depend on
: your tax situation for the year - as you said, the goal is not to push your
: tax bracket to one upper level due to the conversion.
| r****m
发帖数: 1204 | 5 You are a very smart guy (gal)!
Few people thought about the impact of state tax, but if you plan to move,
for example, from NY to TX, it definitely pays to wait after the move,
because you don't have to pay for the state tax in those state tax-free
states! | d****s
发帖数: 174 | 6 Thank u!
【在 r****m 的大作中提到】
: You are a very smart guy (gal)!
: Few people thought about the impact of state tax, but if you plan to move,
: for example, from NY to TX, it definitely pays to wait after the move,
: because you don't have to pay for the state tax in those state tax-free
: states!
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