After you pay conversion taxes at 2012 rates, growth in your Roth IRA will be tax-free for life.
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An open question: whether Mr. Slott will pay his conversion taxes at this year's top rate of 35% or elect a one-time deferral into tax years 2011 and 2012.
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The Facebook COO also set aside more than 15.8 million shares, about 47% of her converted shares, to pay for taxes upon conversion of her RSUs into stock.
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Other reasons for a redo could be say, the inability to pay the taxes due on the conversion, or an unanticipated shift to a higher income tax bracket in the year conversion taxes are due.
The charm offensive also explains, without ever using the words "incinerator" or "burn", that the proposed "thermal conversion plant" will also pay its way by generating electricity.
Tom Wood gave Worcester hope of a shock when he crossed for a try but Walker missed the conversion and Staunton made him pay with a drop goal and penalty.
In other words, a Roth conversion is more impactful if you can pay the tax bill with an outside non-retirement account, like an individual or joint account.
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This would considerably improve our conversion rates and we would be willing to pay Facebook a lot of money for that sort of data.
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But your family could come out ahead, particularly if you pay all or most of the taxes due on the conversion with funds from outside your IRA and if you intend to leave the Roth to your kids or not tap it for many years.
Having non-retirement assets to pay the tax is an important qualification to executing a Roth conversion.
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It might even pay for your heirs to pick up the tax bill on the conversion, if they can afford it and you can't.
In a Roth conversion, you withdraw money from a traditional IRA, pay all the federal and state taxes due, and move the funds into a Roth IRA, where all future growth and withdrawals are tax-free.
He had to pay tax only on the portfolio's balance at the time of conversion, in January 2005, not its gain through September 2006.
In a conversion, you take money out of a traditional IRA, pay ordinary taxes on it and then move it into a Roth, where all future growth and withdrawals are tax free.
In a conversion you declare part of a traditional IRA as income now and pay tax on it (preferably from assets outside the IRA).
Once again, having this sort of customization would increase our conversion rates, provide a better user experience and we would be willing to pay Facebook lots of money for it.
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In a conversion, you declare funds in a traditional pre-tax IRA taxable, pay the federal and state levies due, and then move the stash into a Roth IRA, where future growth and withdrawals are tax free.
This results in your having to pay ordinary income tax on the entire value of your company stock holdings if you do such a conversion (rather than just the basis).
Schools Minister Nick Gibb pledged to pay particular attention to schools which had performed consistently badly over the past five years, whether through conversion to a sponsored academy or other measures.
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So if you expect your future tax rate to be higher, can pay the tax bill with non-retirement assets, and have a long time horizon, a Roth conversion might make sense.
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