Our daily roundup of retirement news your clients may be thinking about.
Some advisors hesitate with Roth IRA conversions Some financial advisors are reluctant to have their wealthy clients make a Roth IRA conversion as the Obama administration is mulling a rule that would make required minimum distribution mandatory in Roth IRAs, according to this article in The Wall Street Journal. As of now, there is a required minimum distribution at age 70-and-a-half in a traditional IRA but not in a Roth IRA. But imposing RMD on Roth IRA would scrap one of the major incentives for making a conversion, says a financial planner. Another financial advisor shares the same opinion, adding that a Roth IRA conversion is a wrong move "especially if you are pushed into a higher tax bracket in the year of conversion." --The Wall Street Journal
Register or login for access to this item and much more
All Bank Investment Consultant content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access