Do you have a tool I could use to extimate the extra tax I'd have to pay to convert a Traditional IRA to a ROTH IRA? I'm currently in the 22% bracket but close to reaching the 24% bracket. We are going to leave the Traditional IRA to our son but he's in an even higher tax bracket. So my thinking is for me to pay the tax now at my lower rate by converting it to a ROTH. Is my thinking correct from a financial point of view?
Yes, we have a great tool called Tax Calculator to estimate your taxes. Here is a link.
Tax Calculator - Tax Refund & Return Estimator 2024-2025 | TurboTax® Official
It says, "2024" but you can use it for 2025. If you have already filed your 2024 tax return and you do not expect any major changes in income other than conversion, you can use 2024 numbers or you can use your paystub and other documents to estimate yearly income.
Please note, first, the site will only ask about W2 income and will provide estimate. On that screen, you can click on "Continue to refine estimate" to enter additional income including retirement income.
If you have TurboTax Desktop, you can create a dummy return to estimate tax due for 2025.
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TurboTax Expert