Conversation Toolkit

Accumulating Roth IRA assets tax-efficiently

Topic overview

There are a few reasons your clients might want to consider rolling over an IRA and/or workplace retirement plan to a Roth IRA. It may allow them to create a pool of potentially tax-free assets for themselves and their beneficiaries, which could lead to more income options for retirement. And, for clients who think they may be in a higher income tax bracket in retirement, converting and paying taxes on the assets now could be a tax-saving measure.

Use these tools to help your clients accumulate Roth IRA assets more tax-efficiently.

Is this relevant to my clients?

Individuals could benefit from these tools if they:

  • Earn too much to make annual Roth IRA contributions
  • Are able to pay the additional taxes that would result from converting pretax assets
  • Want to quickly build a sizeable pool of potentially tax-free income for retirement
  • Want to pass on tax-free income to their heirs

How to Use Your Toolkit

  1. Schedule client meetings to discuss this opportunity.
  2. Email the Pre-Meeting Overview to your clients to set their expectations.
  3. Print out the Meeting Worksheet and review it together.

Disclosures

This material is for educational purposes only. It cannot be used for the purposes of avoiding penalties and taxes. Columbia Threadneedle Investments does not provide tax or legal advice. Consumers should consult with their tax advisor or attorney regarding their specific situation.