Personal Investments • Did Roth Conv Last Year, Prob Not Again, Check Me

[T]o pay the taxes I'll have to sell stock funds at LT cap gain rate plus the extra 3.8% due to our income[. . .] Seems like the opportunity cost of selling stock funds to pay taxes early is high.

If you would like to quantify the effect of the extra LTCG tax on a Roth conversion over time, the "MDM Spreadsheet" listed at the bottom of the "Traditional plus taxable" vs. Roth" section in the Bogleheads wiki does that. (Enter personalized basis fraction in Line 7 and LTCG tax rate in line 20)

(The McQ spreadsheet listed in the same place might, too, but I don't recall.)

Statistics: Posted by cas — Sun Jul 14, 2024 5:20 am — Replies 3 — Views 340

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