Originally Posted by Lisa99
After running i-ORP, results say I should convert as much as $80k per year until all of our t-IRA is converted.
But when I run calculators to determine whether converting is in our best interest financially long-term every one of them say no.
I also read that when your future tax rate is significantly lower than current it doesn't make sense to convert. We're currently at about 33% and future is estimated to be 15% since we have 60% of our investments in after after tax investments.
Am I missing something in my analysis of whether we do conversions or not?
Read this post by the developer of i-ORP:
Do you use i-orp.
What he's saying is that the tool ignores your tax situation and the tax law when it gives tax advice.
It assumes you have no other income from your taxable investments and looks only at the ROTH conversion amount to determine current tax liability.
There's little doubt in my mind that this tool has seriously damaged many of the people who have used it.