Prapass Pulsub | Moment | Getty ImagesAs year-end approaches, some investors may be weighing a Roth individual retirement account conversion to save on future taxes.
The strategy transfers your pretax or non-deductible IRA funds to a Roth IRA, which kick-starts future tax-free growth.
But you have to plan for the upfront tax bill.
Here are some key factors to consider before making a Roth conversion, according to financial experts.
Assess the short-term tax consequencesWhile a Roth conversion may offer long-term tax benefits, there's potential for shorter-term consequences, Lawrence warned.
Persons:
Prapass, Roth, Ashton Lawrence, Lawrence, Jeremy Finger
Organizations:
Roth IRA, Mariner Wealth Advisors, Riverbend Wealth Management, Riverbend Wealth, Republicans
Locations:
Greenville , South Carolina, Myrtle Beach , South Carolina