Planning financial decisions around stimulus checks
I have a 457 that I would like to move into a Roth while taxes are low. I also may be near the $75,000 income cap to receive the $600 stimulus check if I do the conversion the same year they base the income cap from. So I want to know what year will congress use to base the stimulus checks on (2019, 2020) if 2020 income numbers are used then should I do the 457 to Roth conversion before the end of 2020 or in 2021?
Terry Says
That’s a very interesting question. They say this one will be based on 2019 OR 2020. And you never can tell. So have your accountant do the math. Rates may rise next year, or not. But this year (2020) there was NO RMD. That is also something to consider. See how it works out with your numbers.
