The Tax Tumor in Your Retirement 10-10-26 cover image

The Tax Tumor in Your Retirement 10-10-26

The Tax Tumor in Your Retirement 10-10-26

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Every pre-tax IRA and 401(k) has a silent partner: the IRS, and its share grows every time your account does. This week, Retirement Journey Radio calls it the tax tumor and shows why cutting it out with a Roth conversion costs you potentially nothing, because that tax was never yours to begin with. Then a case study: a hypothetical couple with $1.1 million in IRAs pays about $2.1 million in lifetime taxes staying pre-tax and about only $318,000 converting, and ends up with potentially $2.87 million more in lifetime wealth.

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