Originally Posted by Al in Ohio
Do you plan to leave any portion as an inheritance? If so, gifting that with the step up in basis rule would be where you could use tIRA funds and not bother to convert.
Step up in basis has nothing to do with IRAs. A traditional IRA that is inherited still has taxes paid when withdrawn at the beneficiaries tax rate.
Step up in basis refers to taxable brokerage accounts or real estate that are inherited being allowed to reset the basis to the value on the date of death.
There are discussions in Washington to eliminate the step up in basis.