Roth IRA
We are retired and 70 years old. With the temporary $12000 senior deduction over the next 4 years, does it make sense to roll money from our 401k’s into a Roth IRA?
Terry Says
It MAY make sense, however this transaction will still impact your Medicare Part B premiums if it pushes you into a higher income level. Here’s a chart of the level at which higher incomes impact Part B premiums via IRMAA.
https://www.kiplinger.com/retirement/roth-conversion-can-head-off-medicare-irmaa
Read more about IRMAA here: https://www.terrysavage.com/understanding-irmaa/
And if you want to know the exact impact of a Roth Conversion, use this software (it’s easy!)
https://maxifiplanner.com/
