Roth IRA Conversion Calculator - Is A Roth IRA Right For You?

Should I convert to a Roth IRA?

Roth IRA is a great way for clients to create tax-free income from their retirement assets. Yet, keep in mind that when you convert your taxable retirement assets into a Roth IRA you will generally pay ordinary income tax on the taxable amount that is converted. The conversion amount is not subject to the 10% early distribution penalty. Your tax-free potential is maximized if you pay the taxes from your current income or personal savings and not from your IRA. Individuals of all income levels are eligible to convert to a Roth IRA.


Assumptions
Current age
Age when income should start
Number of years to receive income
Before-tax return on savings: (% - accumulation phase)
Before-tax return on savings: (% - distribution phase)
Income tax bracket: (% - accumulation phase)
Income tax bracket: (% - distribution phase)
Current IRA balance ($)
Non-Deductible portion of IRA balance ($)
How will you pay the conversion tax? 1) Pay taxes from non-IRA assets 2) Pay taxes from proceeds of Roth conversion

DocuMatix , LLC and LGFCU do not assume any fiduciary duties or provide investment advice when you use the calculators and you are encouraged to seek professional financial and legal advice when making financial decisions. Calculations provided may differ from calculations provided by other institutions or advisors. DocuMatix , LLC and LGFCU disclaim all warranties with respect to the calculator and use thereof including any implied warranties of fitness for a particular purpose or merchantability. DocuMatix , LLC and LGFCU shall not be liable for any direct, indirect, incidental, consequential, punitive or other damages suffered by you due to your use of the calculator, including loss of profits. You agree to indemnify, defend and hold harmless DocuMatix , LLC and LGFCU from and against all claims, damages and liabilities related to your use of the calculator.