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Greetings, Cltdan, and welcome.

<<Almost all articles recommend conversion to Roth IRA. I like to present 2 scenarios:
1. Retiree with low pension with additional income coming from sale of highly appreciated stock (need to pay 20% federal + 4.4% state tax). For a $10000 conversion, in order to pay the $3240 (28%+4.4%)tax stocks worth $4286 has to be sold. So we have $10000 in Roth IRA, vs $10000 in regular IRA + $4286 in taxable account. Assuming the same growth rate in all investments, the two results are about the same.
2. Same as above, except the retiree moves to a state with no income tax sometime in the future where one can withdraw IRA and sell stocks with no state income tax. Roth IRA looks worse here (does not matter how long you assume).
Did I miss something in my calculation?>>

Nope. You haven't missed anything.

As we've noted in this and other folders regarding the Roth, each individual will have to evaluate its usefulness based on personal circumstances and tax brackets. In general, if one is moving to a LOWER bracket in retirement, the Roth is far less attractive. If the tax bracket is the same or higher, then the Roth appears to have the edge. Again, though, the analysis must be done on an individual basis.

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