Roth IRA Conversions: Why Timing Matters
Timing can have a major impact on your long-term financial outcomes, especially when it comes to Roth IRA conversions. In this episode of Sidewalk Talk, Russell Rivera explains why acting too early or too late could affect how much you pay in taxes over time. The video explores how to think strategically about timing.
Topics Discussed:
Understand Roth conversion timing
Manage taxes with strategy
Use market dips wisely
Transcript:
Hey everybody. I'm Russell Rivera, founder and president of Voice Wealth Management, and this is Sidewalk Talk.
One of the things a lot of people don't think about in terms of retirement is, the timing really is everything. I mean, this is our December video, and it sure doesn't look like December out here. The timing just seems off. Well, when it comes to IRAs, you can do different things where timing really matters. So many people are looking at how much money they might have in their IRAs and sitting there and going, I thought I was going to pay less tax when I got older. Now it turns out I'm just going to pay more. Or, I'm not really sure when I'm going to retire, but maybe there is something I should do about minimizing tax in the future. Or, hey, the market's down. Is there anything I can do right now that doesn't involve me selling everything?
Well, this is where the idea of Roth conversions come in, and figuring out when and how to do that the best way possible is one of the biggest timing questions there can be. Whether you have to do it all at once or maybe for taxes, having to do it over several years, having these conversations now - and the sooner the better - makes the most sense in trying to figure out what's right for you.
Have a question about whether and how and when to maybe do a Roth IRA conversion? Well, give us a call. We'll be happy to help you figure out what's right, what's best for you. Thanks. Happy New Year, and we'll see you next time.
Russell D. Rivera, CFA, CFP®, is the Founder and President of Voice Wealth Management, an independent financial services firm serving professionals, entrepreneurs, and families in New York City and beyond. Focusing on helping clients make informed decisions about saving, investing, and financial planning, Russell is committed to providing a customized approach that reflects each client’s unique priorities and experiences.
