Income restrictions can limit who is able to open a Roth IRA. If you do meet the requirements, the annual contribution limits can be surprisingly low. For 2026, you can contribute up to $7,500 per year to all your IRAs if you’re under age 50, and up to $8,600 per year if you’re 50 or older.

Fortunately, you can avoid these drawbacks by moving a portion of your tax-deferred savings into a Roth IRA. These savings typically come from accounts such as traditional IRAs and employer-sponsored plans like 401(k)s. And since there are no income restrictions or annual caps, you can convert any amount.

While you’ll face a one-time tax bill in the year of the conversion, your account will grow tax-free with no RMDs. This can help preserve your money for longer and allow you to transfer it tax-free to your beneficiaries. A Roth conversion can also potentially reduce your taxable estate.

At Johnson Brunetti, we specialize in Roth IRA conversions for pre-retirees and retirees. We can assess whether a conversion is in your best interest and advise on the optimal amount and timeframe. Our sound advice can help you avoid withdrawal penalties, tax bracket creep, and limits on certain tax deductions and credits. We can also help you prevent increased capital gains taxes, higher Social Security taxes, and larger Medicare premiums.

We’ll recommend appropriate investments that align with your financial objectives, risk tolerance, and time horizon. We’ll also help you navigate the process and paperwork associated with the Roth conversion.