Show Notes
What if the Roth conversion you thought was protecting you is quietly costing you more? Scroll social media anywhere near retirement age, and you will get hit with 10 to 15 ads promising to slash your taxes. David Bezar sits down with Michael Abbott, CFP®, and financial advisor at Thrive, to sort out who Roth conversions actually help and who they quietly hurt. They get into withdrawal sequencing, why the small blind conversion most people do can leave them paying more tax over a lifetime, and the tax bomb that builds when RMDs stack on Social Security and a pension. The T in Thrive’s ROUTE framework stands for taxes, and a Roth conversion done without a plan can cost hundreds of thousands. Listen now.
Timestamped Highlights [01:00] The 10 to 15 ads in your feed promising lower retirement taxes [03:17] Withdrawal sequencing, the early retirement mistake most people miss [04:20] The two ways a Roth conversion goes wrong, and which one is far more common [05:15] Why so many retirees land in an equal or higher bracket than they planned for [05:50] The tax bomb the industry has a name for [06:38] The Lincoln Financial survey that caught retirees off guard [07:36] The client who retired at 66 with $2 million and a six-year window [09:26] What people are actually thinking when they ask if a Roth is right for them [10:52] The side-by-side comparison that makes the decision clear [12:16] The software that projects your accumulated taxes out to age 90 [14:29] The third option David calls the secret sauce [15:13] The Roth myths about age and income that are simply not true [16:10] What to do when your CPA says a Roth conversion is not for you
Mentioned Resources Lincoln Financial Group retiree expense survey
About the Guest Michael Abbott, CFP® is a financial advisor at Thrive Financial Services with about a decade in the financial industry. He earned a B.S. in Finance from the University of South Florida and began his career at T. Rowe Price in 2016, where he realized his clients’ needs went well beyond what a large corporation could offer. He specializes in portfolio and risk management, income planning, and advanced tax strategies, and works across the five areas of retirement Thrive covers in its ROUTE framework. Michael lives in Clearwater, Florida, with his wife and two sons. 🔗 LinkedIn | Website
Important Links Connect with David: Website | LinkedIn How to work with us on Retirement and Advanced Tax Planning Check out our Client Success Stories
Disclosures
Thrive Capital Management, LLC, is an SEC-Registered Investment Advisory firm. SEC registration does not constitute an endorsement of the firm by the SEC, nor does it indicate a particular level of skill or ability. Insurance products and services offered through Thrive Financial Services, LLC. Thrive Financial Services and Thrive Capital Management, LLC are affiliated companies. For more information please visit: https://adviserinfo.sec.gov and search for our firm name. This podcast for informational purposes only and is not intended as legal, tax, or investment advice, or as a recommendation of any particular security or strategy. The investment strategy and themes discussed herein may be unsuitable for investors depending on their specific investment objectives and financial situation. Information obtained from third-party sources is believed to be reliable though its accuracy is not guaranteed. Opinions expressed in this commentary reflect subjective judgments of the author based on conditions at the time of publication and are subject to change without notice. Past performance is not indicative of future results.
Any references to protection benefits or lifetime income generally refer to fixed insurance products, never securities or investment products. Insurance and annuity product guarantees are backed by the financial strength and claims-paying ability of the issuing insurance company.
Converting an employer plan account or Traditional IRA to a Roth IRA is a ta
More from Thrive in Retirement
What if the real threat to your retirement isn't a market crash, but the quiet creep of inflation? You did the math. Money in, money out, and it looked like enough. David Bezar sits down again with Sean DeBarberie,CFP®, a financial advisor at Thrive, to unpack the headwind that quietly reshapes those numbers: inflation. They get into why retirement expenses tend to climb, not fall, the healthcare costs that rise faster than everything else, and the couple who were handed a fixed $4,000-a-month plan with no room for rising prices. Sean also breaks down the bucket approach Thrive calls GPS and the written income plan, or money map, that keeps a retirement moving with the times. You get one shot to retire right, and the do-overs cost. If inflation has you wondering whether your plan can keep pace, this conversation is your starting point. Listen now.
What if the hardest part of retirement isn't saving the money, but turning it into a paycheck that lasts? Most people spend 30 to 40 years saving, then hit retirement with no plan for the part that actually matters: generating income. David Bezar sits down again with Christopher Bak, a financial advisor at Thrive, to unpack why "set it and forget it" is the costliest retirement myth of all. They get into the mental shift from earning a paycheck to creating one, the market, inflation, and longevity risks that hit once you stop working, and why the order you withdraw money can swing your tax bill by hundreds of thousands. Christopher shares the couple who almost overpaid, and what a real year-by-year income plan looks like. Income doesn't live on an island. Get it wrong and you could go back to work. Listen now.
What if the biggest threat to your retirement isn't the market, but the cost of getting sick? Most people spend decades building a nest egg and almost no time planning for the expense that can drain it fastest: long-term care. David Bezar sits down with Brett Ringold, Vice President of A Long Term Companion and a Home Care Association of America director, to break down what care really costs and how families can prepare. They get into the real cost of home care, assisted living, and skilled nursing, why an Alzheimer's or dementia diagnosis changes everything, and the Medicare GUIDE benefits most families never hear about. Brett also shares the documents every family should have in place before a crisis hits. Seventy percent of people over 65 will need care, and getting it wrong can wipe out a lifetime of savings. Plan before you have to. Listen now.
What if the Medicare plan that worked for you this year is quietly setting you up to overpay next year? Most people treat Medicare as a one-time decision. David Bezar sits down with Dawn Myers, a Medicare specialist Thrive works with, who has spent nearly 26 years helping people make sense of it. Her message is simple: Medicare is not set-and-forget. They get into what’s changing for 2026, the end of the donut hole and the new $700 drug deductible, why drug formularies are shrinking, and how to read the Annual Notice of Change letter. Dawn also breaks down Medicare Advantage versus Medigap, and why the cheapest plan today can become unaffordable at 85. Open enrollment runs October 15 through December 7, and one wrong move can follow you for years. Listen now.
What if the biggest money decision of your retirement is one you only get one shot at, and almost nobody explains it to you? Most people spend decades paying into Social Security and almost no time deciding how to claim it. David Bezar sits down with Richard Parrett, CFP®, and relationship advisor at Thrive Financial Services, to explain why claiming is not an age question at all. They get into how your benefit is actually calculated from your highest 35 years, the 12-month do-over almost nobody knows about, the earnings test that makes working retirees think they are being penalized, and the ex-spousal and survivor benefits people leave sitting on the table for years. Rich puts it plainly. Retirement is a math problem, and if you are married, you have to solve it three times. Get this one wrong, and it can cost hundreds of thousands. Listen now.