DH has about 1.5 mil (or had that amount last week) in his traditional 401k. I have about half that in a traditional 401K and IRA. We have much smaller amounts in Roths.
DH is 66 and I am 62. Also getting pensions and SS.
So I'm thinking of finally starting some Roth conversions. Our accounts are with Fidelity and Schwab.
Questions-
Should his Fidelity be transferred to a Fidelity Roth IRA or a Roth 401K? 401Ks are more "bulletproof" re lawsuits, etc but I'm in FL and have been told by our atty that IRAs are just as bulletproof. Any opinions on that?
But Roth 401Ks are subject to RMDs? I was not aware of that. Our mutual fund choices in the company 401K are good with cheap expenses. I "presume" that the Roth 401K choices would be the same...
If I additionally converted some of mine into my existing Roth IRA, do I still need to wait five years to withdraw? Although I do not intend to, wanted to know just in case.
These conversions will also bump us up on IRMAA brackets and 24% tax bracket so I want to make the larger moves so that only one of us gets hit with IRMAA (prior to me turning 65).
I have been back and forth whether it was worthwhile to do but with the SECURE act and the market drop, I think now is the time to do it.
Thanks.
DH is 66 and I am 62. Also getting pensions and SS.
So I'm thinking of finally starting some Roth conversions. Our accounts are with Fidelity and Schwab.
Questions-
Should his Fidelity be transferred to a Fidelity Roth IRA or a Roth 401K? 401Ks are more "bulletproof" re lawsuits, etc but I'm in FL and have been told by our atty that IRAs are just as bulletproof. Any opinions on that?
But Roth 401Ks are subject to RMDs? I was not aware of that. Our mutual fund choices in the company 401K are good with cheap expenses. I "presume" that the Roth 401K choices would be the same...
If I additionally converted some of mine into my existing Roth IRA, do I still need to wait five years to withdraw? Although I do not intend to, wanted to know just in case.
These conversions will also bump us up on IRMAA brackets and 24% tax bracket so I want to make the larger moves so that only one of us gets hit with IRMAA (prior to me turning 65).
I have been back and forth whether it was worthwhile to do but with the SECURE act and the market drop, I think now is the time to do it.
Thanks.