Episode 369: Five Roth Conversion Myths Busted: What Most Americans Get Wrong

David McKnight busts some of the most common Roth conversion myths that are costing retirees hundreds of thousands – if not millions –  of dollars over the course of retirement. The "Don't worry about Roth conversion, you'll be in a lower tax bracket when you retire" myth is based on two flawed assumptions. The first one is that your lifestyle will drop significantly in retirement, while the second is the one related to future tax rates being the same or lower than they are today. David points out that, in retirement, people want to maintain their lifestyle. In some cases, they even spend more in early retirement (think travels, healthcare and helping with kids or grandkids). Let's remember that the U.S. national debt is projected to hit $63 trillion by 2035. The country has unfunded obligations in Social Security, Medicare, and Medicaid that total over $200 trillion, and interest on the debt is going to crowd out most of the national budget items by the mid 2030s… The primary value of...