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Roth Time Now
Do you know that?
You can NOW convert
any IRA accounts to a ROTH IRA?
Including Funds from 401K’s, SEP’s and Traditional
IRA’s?
Why
should you convert to ROTH IRA?
Here is why:
Unlike all other IRA’s, you pay no taxes
when you withdraw. That
means Tax-Free Income AND Tax-Free
growth. It is just that simple.
Unlike all other IRA’s you don’t have to
start taking money out or stop putting
money in at 70 ½.
Unlike all other IRA’s, contributions to
a Roth -- that is, the money you save
into the account –NOT the gain-- can be
withdrawn at any time with NO penalties
and NO taxes.
Unlike all other IRA’s, after 5 years or
59 ½, whichever is later, any
withdrawals including all the gains to
you and your beneficiaries will be all
Tax-FREE.
Of course, income taxes will be due on
the amount you covert, But, it can be
well worth it. You see, the advantages
way outweigh the disadvantage.
Can I Have a ROTH AND other IRA’s?
Yes, remember you can always have a Roth IRA with full
contribution
in addition to your other IRA/Tax Qualified accounts
including 401K’s, SEP and so on…as long as your
annual Gross Income is not more than
$100,000 if single, or $150.000 if you married.
It can be used as a Tax-Free way to fund for your
children’s education and/or supplemental income.
Should you consider converting to a ROTH?
Consider Converting to a ROTH IRA:
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If your IRA is small and/or you are in a low tax
bracket, now
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If your annual income is $100,000 or less, but
you expect your income to increase
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If you can pay the taxes now
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If your retirement tax bracket is expected to be
the same or higher.
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If you are not sure, or you know you won’t need
your IRA in retirement and want to let it keep
growing Tax-Free
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If you are already taking distributions and want
to eliminate the annual mandatory distribution
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If you made non-deductible contributions to an
IRA that won’t be taxed when you convert
The whole point of it is: Convert and pay taxes now
that you are
working and earning money rather than later when you
stop working, and every dollar counts.
Make sure to use the Tax Law to work for you.
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