[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"detail-sidebar-cat-1-en-105":3,"doc-seo-303645-105":53,"doc-detail-303645-en":127},{"code":4,"msg":5,"data":6},0,"success",[7,14,19,24,29,34,39,44,49],{"id":8,"doc_module":9,"doc_module_name":10,"category_name":11,"show_sort_weight":12,"slug":13},11,1,"Template","Presentations",90,"presentations",{"id":15,"doc_module":9,"doc_module_name":10,"category_name":16,"show_sort_weight":17,"slug":18},12,"Resumes",80,"resumes",{"id":20,"doc_module":9,"doc_module_name":10,"category_name":21,"show_sort_weight":22,"slug":23},14,"Invoices",70,"invoices",{"id":25,"doc_module":9,"doc_module_name":10,"category_name":26,"show_sort_weight":27,"slug":28},15,"Posters",60,"posters",{"id":30,"doc_module":9,"doc_module_name":10,"category_name":31,"show_sort_weight":32,"slug":33},16,"Social Media",50,"social-media",{"id":35,"doc_module":9,"doc_module_name":10,"category_name":36,"show_sort_weight":37,"slug":38},17,"Forms",40,"forms",{"id":40,"doc_module":9,"doc_module_name":10,"category_name":41,"show_sort_weight":42,"slug":43},18,"Letters",30,"letters",{"id":45,"doc_module":9,"doc_module_name":10,"category_name":46,"show_sort_weight":47,"slug":48},21,"Paper Templates",5,"papers-templates",{"id":50,"doc_module":9,"doc_module_name":10,"category_name":51,"show_sort_weight":4,"slug":52},158,"General","general-158",{"code":4,"msg":54,"data":55},"ok",{"site_id":56,"language":57,"slug":58,"title":59,"keywords":60,"description":61,"schema_data":62,"social_meta":120,"head_meta":122,"extra_data":124,"updated_unix":126},105,"en","personal-finance-financial-planner-roth-ira-conversions-may-2022","PERSONAL FINANCE - Financial Planner - Roth IRA Conversions - May 2022","","Roth IRA conversions are analyzed in the context of recent changes to individual retirement account (IRA) regulations. The article explains traditional versus Roth IRA taxation, including deduction rules, tax-free growth, and the role of required minimum distributions (RMDs). It details conversion mechanics as a taxable event without income limitations, outlines income thresholds for Roth contributions in 2022, and compares benefits such as tax-free qualified withdrawals and flexibility for retirement and heirs under updated inheritance rules.",{"@graph":63,"@context":119},[64,80,102],{"@type":65,"itemListElement":66},"BreadcrumbList",[67,71,74,77],{"item":68,"name":69,"@type":70,"position":9},"https://docshare.wps.com","Home","ListItem",{"item":72,"name":10,"@type":70,"position":73},"https://docshare.wps.com/template/",2,{"item":75,"name":11,"@type":70,"position":76},"https://docshare.wps.com/template/presentations/",3,{"item":78,"name":59,"@type":70,"position":79},"https://docshare.wps.com/template/personal-finance-financial-planner-roth-ira-conversions-may-2022/303645/",4,{"url":78,"name":59,"@type":81,"image":82,"author":87,"headline":59,"publisher":90,"fileFormat":93,"inLanguage":57,"description":61,"dateModified":94,"datePublished":95,"encodingFormat":93,"isAccessibleForFree":96,"interactionStatistic":97},"DigitalDocument",{"url":83,"@type":84,"width":85,"height":86},"https://docshare.wps.com/thumbnails/personal-finance-financial-planner-roth-ira-conversions-may-2022/303645.png","ImageObject",442,249,{"name":88,"@type":89},"Ophelia","Person",{"url":68,"name":91,"@type":92},"DocShare","Organization","application/pdf","2026-10-04","2026-09-19",true,{"@type":98,"interactionType":99,"userInteractionCount":101},"InteractionCounter",{"@type":100},"ViewAction",6,{"@type":103,"mainEntity":104},"FAQPage",[105,111,115],{"name":106,"@type":107,"acceptedAnswer":108},"What are the key differences between a traditional IRA and a Roth IRA?","Question",{"text":109,"@type":110},"Traditional IRAs allow contributions with potential tax deductions and withdrawals taxed as ordinary income, with required minimum distributions starting at age 72. Roth IRAs are funded with after-tax dollars, grow tax-free, have no RMDs, and qualified withdrawals are not subject to income tax in retirement.","Answer",{"name":112,"@type":107,"acceptedAnswer":113},"Do Roth IRA conversions have income limits?",{"text":114,"@type":110},"Unlike Roth IRA contributions, there are no income limitations on converting an existing IRA to a Roth IRA. Converting some or all of an IRA, SEP-IRA, or SIMPLE IRA is possible regardless of income.",{"name":116,"@type":107,"acceptedAnswer":117},"Why is a Roth conversion considered a taxable event?",{"text":118,"@type":110},"The conversion is taxed because the amount converted from an IRA to a Roth generally counts as ordinary income, unless nondeductible contributions were made previously. This can increase taxable income and adjusted gross income (AGI), affecting other tax calculations.","https://schema.org",{"og:url":78,"og:type":121,"og:title":59,"og:site_name":91,"og:description":61},"article",{"robots":123,"canonical":78},"index,follow",{"doc_id":125,"site_id":56},303645,1790141703,{"code":4,"msg":5,"data":128},{"doc_id":125,"user_id":129,"nickname":88,"user_avatar":130,"doc_module":9,"category_id":8,"category_name":11,"doc_title":59,"doc_description":61,"doc_content":131,"file_id":132,"file_url":133,"file_type":134,"file_size":135,"view_count":101,"is_deleted":4,"is_public":9,"is_downloadable":9,"audit_status":9,"page_count":76,"language":136,"language_code":57,"site_id":56,"html_lang":57,"table_of_contents":137,"faqs":138,"seo_title":139,"seo_description":61,"update_tm":140,"read_time":9},7971461741311,"https://ap-avatar.wpscdn.com/avatar/74000253aff267980c6?x-image-process=image/resize,m_fixed,w_180,h_180&k=1779345379180704826","PERSONAL FINANCE | Financial Planner  \nChanging Tax Rules Make This Retirement Savings Option Look Even Better  \nRoth IRA Conversions  \nby Alexandra Armstrong, CFP, CRPC, and Christopher Rivers, CFP, CRPC  \nAfter remaining stable for many years, there have been a number of changes to the rules surrounding individual retirement accounts recently. In our last article, we detailed the changes to the required minimum distribution rules over the past two years. This month we will examine the rules and strategies for converting a traditional IRA to a Roth IRA. While the rules on Roth conversions have not changed (yet), the shifting landscape of IRA regulations has made Roth IRA accounts even more attractive.  \nRoth IRA Basics  \nFirst, some basics. In a traditional IRA, you contribute money to the account and receive a tax deduction foryour contribution, subject to certain eligibility limits. If you are eligible to take the deduction, then in its simplest form, a $6,000 IRA contribution will allow you to deduct $6,000 from your taxable income.  \nThe money in the IRA grows tax-free and then when you withdraw it, it’s taxed at ordinary income rates. Traditional IRAs are subject to required minimum distributions (RMDs) once you reach age 72, as detailed in last month’s column.  \nRoth IRA contributions on the other hand, are made after-tax. There is no tax deduction for the contribution. The money in the account then grows tax-free similar to a traditional IRA, but unlike a traditional IRA qualified withdrawals are not subject to income tax when withdrawn in retirement. Furthermore, Roth IRAs have no required minimum distributions at any age.  \nRoth IRA contributions are limited to those whose income is below certain income thresholds. For 2022, a full Roth IRA contribution can be made if your taxable income is less than $129,000 for single taxpayers, or $204,000 for those married filing joint. Above those amounts, the amount you can contribute to a Roth IRA is reduced, until it’s phased out entirely above $144,000 (single) or $214,000 (joint) .  \nRoth Conversion Rules  \nUnlike Roth IRA contributions, there are no income limitations on converting an existing IRA to a Roth IRA. If you have an IRA, SEP-IRA or SIMPLE IRA you can convert some or all of the account into a Roth account.  \nHowever, the conversion comes at a cost, because it’sa taxable event. Unless you have made nondeductible contributions in the past, the entire amount you convert from an IRA to a Roth is taxed at your ordinary income  \nrate. Thus, the first step when considering a Roth conversion is to determine the tax impact.  \nGenerally speaking, tax planning has dictated that it’s better to defer paying taxes whenever possible. If you do a Roth conversion you’ll be paying more taxes now, which can seem counterintuitive. But, there are  \nsituations where paying the tax bill now can result in greater savings down the road.  \nBenefits of a Roth Conversion  \nThe primary advantage of converting is that when you take qualified Roth IRA withdrawals,  \nthey’re tax-free. Another big advantage is that you will not be forced to take distributions at  \nage 72 as you must from a traditional IRA.  \nConverting toa Roth IRA allows retirees who have plenty of income from other  \nsources to let their Roth IRAs grow tax-free as long as they like. In addition,  \n“Recent changes to the IRA  \nrules have made Roth IRAs even more attractive for the next  \ngeneration to inherit.”  \nit gives you greater flexibility in retirement, since you have money that can be withdrawn without incurring taxes. This can be particularly helpful for larger purchases like a car or the vacation of a lifetime.  \nFurther, if you own a Roth IRA at your death, the distributions your beneficiary will be required to take will be tax-free as long as the Roth IRA has been in existence for at least five years.  \nIn addition, recent changes to the IRA rules have made Roth IRAs even more attractive for the next generation to i","cbCaiucZSwTfSzP0","https://ap.wps.com/l/cbCaiucZSwTfSzP0","pdf",260145,"English","# Roth IRA Basics\n## Traditional IRA vs Roth IRA Tax Treatment\n## 2022 Roth Contribution Income Thresholds\n# Roth Conversion Rules\n## Converting an Existing IRA\n## Determining the Tax Impact\n# Benefits of a Roth Conversion\n## Tax-Free Qualified Withdrawals\n## Avoiding RMDs at Age 72\n## Inheritance and the 10-Year Rule\n# Disadvantages of a Roth Conversion\n## Paying Taxes Upfront and AGI Effects","[{\"question\":\"What are the key differences between a traditional IRA and a Roth IRA?\",\"answer\":\"Traditional IRAs allow contributions with potential tax deductions and withdrawals taxed as ordinary income, with required minimum distributions starting at age 72. Roth IRAs are funded with after-tax dollars, grow tax-free, have no RMDs, and qualified withdrawals are not subject to income tax in retirement.\"},{\"question\":\"Do Roth IRA conversions have income limits?\",\"answer\":\"Unlike Roth IRA contributions, there are no income limitations on converting an existing IRA to a Roth IRA. Converting some or all of an IRA, SEP-IRA, or SIMPLE IRA is possible regardless of income.\"},{\"question\":\"Why is a Roth conversion considered a taxable event?\",\"answer\":\"The conversion is taxed because the amount converted from an IRA to a Roth generally counts as ordinary income, unless nondeductible contributions were made previously. This can increase taxable income and adjusted gross income (AGI), affecting other tax calculations.\"}]","PERSONAL FINANCE - Financial Planner - Roth IRA Conversions - May 2022 | PDF",1789805877]