Should You Convert Your Traditional 401(k) Into a Roth 401(k)?

I think the benefits of a Roth are awesome

Depending on exactly where she is financially, I wouldn't start to Roth convert until she has her IRA, 401k and HSA (if available) filled up first. If all those are done, and you want to convert, fine, but make sure you pay the taxes separate. I'm in this boat and I Roth convert $10k per year and I'm 35.

March and April 2020 was the perfect time for this. Now not so much

Ehhhh idk about this one. In my opinion she should be converting it all to roth at this age, unless it would jump her to a higher tax bracket now, such as from 12% to 22% or 24% to 32%. Those are the backets with the most significant jumps and tax consequences. Even if it's just for the benefit of the untaxed growth, which can 10x from now until she's 60 in 30 years. I agree in having a portion of not tax advantaged growth available, but prioritize the roth as much as it makes sense now seems like the best move to me. You can always start building up the traditional portion back up once your income goes into the 32% tax bracket, or within 10 years of retirement if you won't ever get there

Roth’s are definitely great tools. Traditional options offer good opportunities as well. I understand a lot of people ❤️ Roth’s but Traditional 401K’s are powerful tools as well. To date my traditional 401K is where the majority of my money is outside the equity in my house.

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Super relevant. My company will start offering a Roth 401k at the beginning of the new year and I've been wondering what to do with the traditional 401k assets I've already accumulated

Question. I currently have a brokerage account with fidelity with about 5.8k invested, up a total of about 14.6%. Is it worth taking the tax hit to sell and close this account to open a Roth IRA?

***What if we are currently in the historically most favorable tax environment now rather than in 30-40 years where it is unknown.
Wouldn’t i want to pay foreseeable lower taxes now rather than unknown possibly higher taxes later when its time to take disbursements?**

I've actually been asking the same question as this person. I'm 29, maxing out my Roth IRA, have a traditional 401(k). I have seen the math on taxes later on traditional making the total less than Roth when you retire, but what if I don't touch the 401(k) and use my Roth IRA to live on? I feel like the amount my traditional could continue to grow would make it worth more than a Roth 401(k).

Wrong, Olivia could’ve had a backdoor Roth and there would be no income threshold.

Lets say you want to convert $200,000 of Traditional 401K dollars into Roth 401k dollars and you would owe 25% in taxes. Can you have the $50,000 deducted from the $200,000. Resulting in $150,000 to put into a Roth 401k , or would you need to have $50,000 in personal cash to pay the taxes? Thanks.

Wait..wheres Brian at? Brian come back my dude : (

IMO if you’re young and you have time for your Roth it makes sense. When older (and probably at a higher tax) you don’t have alot of time to grow and it makes less sense. I think the number for me was 15 years to retirement. If you have more than that it can make sense. (Everyone is different though)

Can you convert bits at a time? Like 20k a year for example?