Skip to main content
No. of Recommendations: 0
I wonder whether there is also a conversion fee... If there isn't, that would be a possible workaround, since I don't think a conversion counts as a distribution.

Sorry, a conversion is a distribution. You have to distribute the funds to a new account in order to convert it.

(But you'd have to have a Roth account set up several years in advance for that.)

Not necessarily. You can first set up a Roth IRA by doing a conversion initially. In order to take distributions from that money without being taxed and/or penalized, you would have to have had a Roth account (not necessarily the one you converted into) open for at least 5 years and be 59 1/2 (or meet an exception), or the conversion itself must be at least 5 years old. But as long as you don't need to withdraw the money before then, you're fine.

Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.