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Subject:  Re: Roth IRA Contriubtions & Conversions Date:  2/1/1998  11:47 PM
Author:  tc001 Number:  1568 of 75340

My question (as usual, if you've seen any of my posts on the tax board) is why the after-tax regular IRA is being calculated as though the entire tax is paid at the marginal rate? Contributions are made at the marginal rate, but withdrawals aren't necessarily so.
I suppose if the IRA withdrawals are on top of, let's say, a 401k disbursement, then they could all be at the marginal rate. As a realist, I'm not convinced that most Americans are going to have combinations of SS, 401K, IRA, inheritance savings, lottery winnings, or whatever else, pumping up their cash flow during retirement to force payouts at the marginal rates.

Any explanation as to why everyone (here, in the paper, in magazines, on television - everywhere I look) does it this way? What am I missing?
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