How to convert traditional IRA to Roth IRA?

ByStander

我现在有一个traditional IRA的ACCOUNT，一个Roth IRA的ACCOUNT。我想把traditional IRA转成Roth IRA，怎么转呢？就直接把traditional IRA上的钱传到Roth IRA上吗？这里面有什么要注意的吗，比如要填什么FORM吗？多谢！

福多多

好象要交税的说。。。

test

ask your broker to give you convert form, file the form, then you could convert, you could ask the broker to hold tax with money from your tradition IRA, or pay the tax with new money.
I have done it for this year.

zippo

回复 3# test

I have been thinking about this.  What are the considerations when you converting, e.g. tax braket, time herizon, etc?  Do you combine the coverted Roth IRA with old Roth IRA? Anyway, what's the pros and cons?  Thanks.

test

I convert all my IRA to existed roth IRA account. I have to pay huge tax this year, but I think it is worth. Because next year the highest tax ratio will be 39.6%, who knows what tax rate will be in the future.

Once you have convert, then you will not care the tax rate forever.

ByStander

ask your broker to give you convert form, file the form, then you could convert, you could ask the b ...
test 发表于 2010-4-2 23:54

I have two IRA accounts, one traditional, one Roth. I'm thinking to convert to Roth and merge the two accounts. What you are saying is to convert to Roth with current broker first, then transfer fund to another Roth account to merge them?  Thanks,

ByStander

I convert all my IRA to existed roth IRA account. I have to pay huge tax this year, but I think it i ...
test 发表于 2010-4-3 11:20

So you had traditional and Roth account with the same broker?

test

I have one tradition IRA in IB, one tradition IRA in optionHouse, one roth IRA in optionhouse. I transfer IB tradition to optionhouse tradition, then convert all optionhouse tradition to roth IRA.