@SLYKTAX wrote:
Is there a benefit if I do a security (stock) conversion from my IRA to ROTH account instead of using the cash.
conversion?
Is there a time frame that I need to roll outside cash to cover the tax withholding?
There is no particular benefit to doing an in-kind transfer, but you won't be able to do the withholding in that case. That is to say, if you wanted to convert $10,000, and that happened to be 1000 shares of a specific stock you liked at $10 each, you can't have withholding and keep all 1000 shares. If you wanted $2000 withheld for tax, you could only transfer 800 shares in-kind, and cash out 200 shares for the withholding. You would have to talk to the broker about the details.
You have 60 days to complete the conversion. In other words, if you do a Roth conversion of $10,000 on April 1 and have $2000 withheld, you have until May 30 to put another $2000 into the Roth from another source to complete the rollover (conversion).
