So…
My dad is turning 70 soon, and he has not made any moves with his 401k (no IRA/Roth conversion, etc.). As you may well know, he will be forced to take the required minimum distribution (RMD) at age 70.5, which is the worst possible outcome since it will be taxed as ordinary income and it will be money he doesn’t need.
What do you think the best strategy is at this point? Since he has a history of “not wanting to deal with it,” I think the best move would be to transfer the money in one chunk into a Roth. Of course, the tax bill will be huge, but at least he will have lower fees, no RMDs, and a tax-free source of income to either use or pass down to his kids.
Other info: He has a pension, so that’s why he hasn’t touched his 401k. I’m not sure what the balance is, but I imagine it’s in the low to mid six figures.