You will have to go onPhilanthropy.com to check out this article – a little too long for a blog post.
Here is the link:
My summary: the out of pocket cost for someone in the relatively low 25% federal income tax bracket to convert a $100,000 IRA to a Roth is about $42,000! Someone starting in the 28% bracket and higher, the cost jumps to around $50,000!!!!!
Read the article and challenge my math! The numbers are relatively simple to figure out.
This is, of course, without any charitable planning to offset the extra tax.
Stay tuned for Part III on Roth Conversions: The Roth Conversion Super-Duper Defective Grantor Lead Trust that solves all of your tax worries for a hundred years or more (or not).