For Alan-Oniras
Alan,
I tried to send you a PM, but you have informed me via the “website forum” that you don’t read your PMs and your mailbox is full. You suggested that I place my query on this IRA forum, so I am reluctantly doing so. My query is not of a general nature so it will not be of general interest – but I know of no other way of contacting you to ask my question.
I have been following the IRA discussion forum for an extended period. It is clear that you know your stuff. Therefore, I am writing to ask if you might be willing, for appropriate fees, to provide me some assistance as I decide whether to convert my TIRAs to Roth IRAs in 2010.
I also subscribe to Ed Slott’s monthly financial advisor newsletter.
I have already visited with an “Ed Slott trained financial advisor” in my area. I wasn’t impressed. I felt I knew as much as he did. So, I have concluded that not all Ed Slott trained advisors know their stuff. I am convinced that you do – (and I am sure others on this forum also do.)
I am not looking for investment advice. I plan to do my own spread sheets to compare my alternatives of sticking with TIRAs; converting to Roth in 2010; or converting to Roth over a period of years. I am looking to you as a resource to consult on specific questions and to serve as a check that I am not overlooking major considerations.
I am 67 and married. My wife is 65. I have a daughter, age 44, who was determined as incapable of self-support prior to age 21 due to a back condition. I am her sole source of support, so I have to leave her sufficient funds for her lifetime.
Would you be willing to take me on as an “e-mail client” – responding to questions that I might develop as I examine my options; reviewing my work; informing me of considerations I might be missing, etc?
My direct e-mail is: [email protected].
Thanks,
Gary Comfort, Ponce Inlet, FL
Permalink Submitted by Alan Spross on Sat, 2009-10-17 02:18
Answered with private message, as I cleaned out that folder today. Other than that one reply, my intent is to limit my responses to the public discussion forum.
Permalink Submitted by Bruce Steiner on Sun, 2009-10-18 14:48
The fact that the original poster knows as much about this as his financial advisor should not be a criticism of either the financial advisor or the seminar. The advisor should be commended for attending the seminar and continuing his education.
While attending a seminar can be helpful to focus a topic, or to learn about recent developments or changes in the law, it doesn’t make one an expert in the topic. And I would guess that the financial advisor’s main focus is financial advice, not tax and estates law.
It’s difficult to calculate this precisely, since there are so many variables, including future income tax rates, future estate tax rates, investment returns, future interest rates, whether he’ll want at least some distributions from the IRA during lifetime (relevant since there will be required distributions beginning in a few years on the portion not yet converted), how long he will live, how long his wife will live, whether he’ll want to leave some or all of the IRA to a credit shelter trust. But the calculations may show that one choice is likely to be much better than another, or that two choices come out close to each other.
The choice is not only between converting all in 2010 or spreading the conversion out over x years. He could convert 1/2 (or 1/4 or 3/4 or some other portion) in 2010 and spread the rest out over x years. Or he could spread the conversion (or the part not converted in 2010) out over y years or z years rather than over x years.
Bruce Steiner, attorney
NYC
also admitted in NJ and FL
Permalink Submitted by JAMES MAGNO on Mon, 2009-10-19 22:11
Bruce,
As much as this appears to be a personal matter, it is also a nifty case study. One isolated comment: I wonder if there is a potential federal estate tax? Well another question – some of the case facts appear to really be compelling with respect to doing the Roth Conversion ie current owner plans to leave the IRA assets to another generation rather than spend down. On the other hand, the beneficiary will likely be in a lower tax bracket? Hmmm no way to generalize without more facts…
Jim