The Big Retirement Myth

#Morningstar  #EdSlott #RetirementInvesting

Tax and IRA expert Ed Slott says it’s a mistake to assume you’ll be in a lower tax bracket in retirement than when you were working.

00:00 Introduction

00:27 Do Taxes Go Down in Retirement?

03:16 Tax-Planning Tips Before You Have to Take RMDs

06:40 How QCDs Can Lower Your IRA Balance

07:23 Should You Consider a Roth Conversion When the Market Is Down?

08:34 Why You Should Contribute to Roth Retirement Accounts When You’re Young



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[heidikamrath]

My advisor tells me this as well: I will be in a higher tax bracket when I retire (maybe not immediately, but eventually and moving forward) and I am contributing to a Solo Roth 401K and Whole Life Insurance for tax-free growth. Extra goes into a brokerage account.

[vidalnieves]

As Warren Buffet says, never underestimate the value of compounding . Therefore, use traditional 401 k. You are contributing more and it is costing you less. …… if you have to pay high taxes, it means you did quite well! Let Uncle Sam do well too! Stop the greed!

[SideWays]

Definitely convert yearly to a Roth up to your next marginal bump. Be intentional.

[poolmilethirty]

Thank you Mr Slott, . What if you just started working and are contributing to a 403b? Are you allowed to convert that to Roth?

[francisoconnor]

Are most company matches for traditional 401k accounts and not Roth 401k ?

[jreisz]

And retirees will withdraw more from their traditional ira's during the go go years.