Re: Age 70.5 and Required Minimum Distribution Affecting Retirement Accounts

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Subject: Re: Age 70.5 and Required Minimum Distribution Affecting Retirement Accounts
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Ron Peterson wrote:
> Retirees don't have to spend the money they are required to withdraw
> since they can put it into a non-retirement account or if they qualify
> can convert it to a Roth retirement account.
>
> --
> Ron

The RMD cannot be converted to Roth.
One can convert other IRA funds beyond the RMD to Roth, and in the case
where they have room in their current bracket, a conversion amount to
"top off" that bracket is a good thing to consider.

(Disclaimers - Roth conversion are subject to income restrictions. Tax
bracket does not always reflect actual incremental tax due as phaseouts
or phaseins [such as taxing of SS benefits] may occur. I'm sure there
are other individual issues to consider.)

Joe
www.blog.joetaxpayer.com

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