Roth IRA Conversion  
When Congress created the Roth IRA, millions of Americans who already had traditional IRAs faced a new decision: “Should I convert to a Roth IRA?” Traditional IRAs feature deductible contributions, and withdrawals are taxed as income. Roth IRA contributions, on the other hand, are not tax deductible, although qualified withdrawals of both contributions and earnings from a Roth IRA are free of federal income tax. One issue to consider is that if you convert your traditional IRA to a Roth IRA, you will owe current federal income tax on the amount you convert. This calculator is designed to help you determine whether you should consider converting to a Roth IRA.
     

1. What is your current age?

2. What is the current balance of your IRA?

$

3. What pre-tax return do you expect on your IRA investments (0 to 10 percent)?

%

4. What marginal tax bracket do you expect to be in during your working years?

5. At what age do you expect to begin withdrawing funds from your IRA? (Enter a number between 60 and 70, but at least five years from your current age.)

6. What pre-tax return do you expect on your investments once withdrawals begin (0 to 10 percent)?

%

7. What marginal tax bracket do you expect to be in during your retirement years?

 
   
   
Compass Point Advisors, LP
136 Summit Avenue, Suite 203 • Montvale, NJ • 07645
Phone: 201-391-5161 • Fax: 201-391-6110
• maria@compasspointlp.com

Representatives offering securities through Securities America, Inc., Member FINRA/SIPC www.finra.org, www.sipc.org . Advisory services offered through Securities America Advisors, Inc., Compass Point Advisors, L.P. and Securities America companies are unaffiliated. Securities America does not provide tax or legal advice. Please consult a tax or legal professional for answers to specific questions.  Representatives are licensed in insurance in the states of CT, FL, NJ, NY, SC; licensed in securities in the states of CA, CT, DE, FL, LA, MD, NC, NJ, NM, NY, OH, PA, SC, VA; licensed in RIA (Registered Investment Advisors) in the states of NJ and NY.