Clark calls himself “the man from Roth.” He loves Roth IRAs and Roth 401(k) accounts.

With traditional IRAs and 401(k) accounts, every dollar contributed reduces your taxable income now. But Uncle Sam will tax you on the back end when you’re ready to withdraw. And Clark expects tax rates to increase in the future.

“The Roth IRA means a dollar saved is a dollar you’re going to have in retirement. Where in a traditional IRA or a traditional 401(k), a dollar saved is not a dollar,” Clark says.

If you can, it’s a good idea for most people to contribute to a Roth version of those retirement accounts. You’ll have to use post-tax dollars. But for most, it will lead to larger nest eggs in the long run. (You can use our Roth IRA vs. traditional IRA calculator to tell the difference.)

One potential way of expediting that process: a Roth conversion. This occurs when you take an existing traditional IRA and transform it into a Roth IRA.

The biggest drawback: taxes. You’ve never paid taxes on the money you’ve put into your traditional IRA. So if you convert money into a Roth IRA, you’ll owe taxes on that money to the IRS immediately.

So you need to weigh your tax bracket, taxable income and the amount of money in your traditional IRA carefully.

And while the stock market generally is having a nice year — the S&P 500 is up more than 13% year to date as of this writing — there have been some pullbacks in certain areas of late, particularly in the AI trade.

If you’ve experienced a bit of stagnation or even a drawback (or if you do in the future), it’s a pretty good time to consider a Roth IRA conversion, Kiplinger explains.

Wes starts by looking at what ancient wisdom and modern research teach us about true fulfillment. As we leave the workforce, we often lose daily structure, active socialization, and full households all at once. To counter these major life headwinds, Wes discusses how planning your lifestyle goals even ten years out leads to significantly greater joy once you stop working. Also, Wes tackles the massive psychological barrier of spending down your hard-earned nest egg. Running out of money is the single biggest financial fear for most Americans. Wes shares the rule that offers an extremely high probability of success, giving you the confidence to stop worrying, start spending wisely, and enjoy the retirement you earned.

The Team Clark Consumer Action Center is a free helpline that can help you navigate your money questions. Call 636-492-5275. Visit clark.com/cac for more information.