The years between retirement and required withdrawals can be a golden window for moving money to tax-free — if you plan for it.
A Roth conversion moves money from tax-deferred to tax-free by paying tax now, at a rate you choose. The art is choosing the year.
Look for the gap years
Lower-income years — early retirement, a sabbatical, a business transition — let you convert at lower brackets than you will face later.
Convert in slices
Converting a planned amount each year keeps you inside a chosen bracket instead of jumping into a higher one.
Coordinate before acting
Conversions affect Medicare premiums, Social Security taxation and estimated payments. We model the full picture with your CPA first.
This article is for educational purposes only and is not tax, legal or investment advice. Speak with a licensed professional about your own situation.
