401k to Roth 401k conversion - Vanguard, how to?

[Anonymous]

Let's say you are retired and have 1 million in 401k - 99% pre-tax 401k and 1% Roth 401k. I would like to convert some of the pretax 401k into Roth 401k. Let's say like 50k. I know I owe tax on that 50k but I can't figure out how to do this using Vanguard account. If you are familiar with Vanguard system, can you tell me how? TIA

[Anonymous]

Pretty sure you’ll have to roll 50k out to a traditional IRA and then roll the traditional IRA to a Roth IRA but I don’t know if there’s a way to skip any of those steps. At tax time you will need to fill out form 8606, so you might consider making an estimated tax payment

[Anonymous]

Not sure about 401k to Roth 401k, but maybe below will help?

I've transfered a pretax 401k to a Vanguard IRA and then did a Roth conversion via their website and it was easy. You should do estimated taxes (assuming you are paying taxes with other funds and not withholding) if you do the conversation prior to the end of the 1st quarter. If the contribution is after the 1st quarter, then you are stuck doing the dreaded 2210 form which appears to be extremely tedious.

[Anonymous]

Are you over 59 1/2 years of age?

[Anonymous]

Anonymous wrote:Are you over 59 1/2 years of age?

I am

[Anonymous]

Are you trying to leave this money in a Vanguard-managed 401k and just convert it to Roth, or are you going to roll it from a Vanguard-managed 401k to a Vanguard IRA?

[Anonymous]

Anonymous wrote:Are you trying to leave this money in a Vanguard-managed 401k and just convert it to Roth, or are you going to roll it from a Vanguard-managed 401k to a Vanguard IRA?

bolded

[Anonymous]

Anonymous wrote:

Anonymous wrote:Are you trying to leave this money in a Vanguard-managed 401k and just convert it to Roth, or are you going to roll it from a Vanguard-managed 401k to a Vanguard IRA?

bolded

Ah. First, you need to confirm that your plan allows this.

[Anonymous]

Call Vanguard customer service?
Look in their FAQ?

[Anonymous]

Call Vanguard at 877-662-7447.

You might get a good answer here, but there's no way for you to know whether any specific answer is the right one. And even if an answer here is generally correct, your situation might be different.

[Anonymous]

Thank you all. Appreciate your thoughts.

[Anonymous]

Fwiw, I had to transfer all my money out of Vanguard because of their horrific customer service in trying to resolve an issue (not this specific issue). Hopefully you will have a better experience but wanted to share in case you do - it's not your imagination.