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Financial Security by Design
925.299.0472 or Fax 925.299.0473
e-mail: lingane@post.harvard.edu

Who Benefits from a Roth Conversion?

©1998 Peter James Lingane
Prepared for presentation May 14, 1998
North Bay Chapter, California Society of Enrolled Agents


  • Someone whose income tax rate when making withdrawals is higher than their tax rate when making contributions.
    • Just starting out, or about to make it big, or anticipating an inheritance
    • Between jobs, or newly retired

  • Someone whose assets exceed their expenses after age seventy
    • Affluent, Thrifty or Savvy; and
    • In good health, with youthful beneficiaries

  • Someone who can pay the conversion taxes without accelerating other taxes. Avoid using
    • Pension assets
    • Assets with unrealized appreciation

  • Someone whose conversion strategy is integrated with their financial and estate plan. This means considering
    • How much and when to convert
    • How and when to pay the taxes
    • Whom to name as beneficiaries

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    This summary is not a complete discussion of the issues nor is it a full recitation of state and federal tax laws and regulations. Review your personal circumstances with your tax adviser.

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