Roth IRA and Roth conversionsThe tax benefits of a Roth IRA are likely to be far greater influence on your wealth accumulation than picking the right stock or bond funds to put in them.Converting all or some of your traditional IRA to a Roth now could be a good moveConversions are on sale until the Tax Cuts and Jobs Act sunsets in Dec. 2025, when today’s lower tax brackets return to their 2018 levels (unless Congress acts)Note: Roth IRA conversions are permanent. You can no longer recharacterize back to a traditional IRATime, not timingMarket timing is not easily achievable, even for professional investors who are in the market 24/7 and spend their entire day monitoring their investmentsBy staying in the market, you participate in the market recoveries in real timeBy dollar-cost averaging (DCA), you buy more of what you own at lower prices when markets are downSpend the smartest money first (Smart Money Strategy)The decision to take withdrawals from a tax-advantaged account or sell appreciated securities from a taxable account isn’t always straightforwardSpending smart money first means seeking to balance tax consequences with investment performance. Sometimes more art than science.Reducing taxes are one of the best ways to reduce your ROISo much of the financial industry tries to encourage people to put most of their wealth into qualified plans including IRAs and 401(k)sPretax retirement plans are inefficientPaying the taxes dues on traditional IRA or 401(k) withdrawals will probably be your biggest investment expense during your lifetimeTax diversification Set up near-term, medium-term and long-term bucketsIncome strategy and tax plan need to support your goals and valuesMoney Matrix

Ver todos los episodios