High-Earning Couple in Their 60s With $1M in 403(b)s Weighs Roth Conversion Benefits

A couple in their 60s, earning an annual income of $345,000 and holding $1 million in 403(b) retirement accounts, is considering whether it is too late to pursue Roth conversions.

The primary motivation behind their inquiry is the desire to provide their children with tax-free distributions. “Roth assets would provide our children with tax-free distributions,” the couple noted, highlighting the potential estate planning advantage of shifting pre-tax savings into a Roth structure.

Their question raises broader considerations about age-related eligibility, income limits, and the tax implications of converting substantial pre-tax balances to Roth accounts later in life.