Financial advisors often default to a simple rule of thumb: split retirement savings evenly between traditional and Roth accounts over time. But is that really the optimal strategy?
In this data-driven session, Derek Horstmeyer, finance professor at George Mason University, challenges conventional wisdom by walking through the results of thousands of simulations designed to answer a critical question:
- When should clients favor Roth vs. traditional retirement accounts—and by how much?
- Drawing on rigorous modeling, Derek explores how the “right” strategy changes based on two key variables:
- When a client plans to retire
- When they plan to begin withdrawals
The findings may surprise you.
For example, the research shows that clients who retire earlier but delay withdrawals may benefit from tilting more heavily toward Roth accounts—while a balanced approach may be more effective in other scenarios. And notably, across all simulations, overweighting traditional accounts was never the optimal outcome.
In this webinar, you’ll learn:
- Why the standard 50/50 approach isn’t always the best answer
- How retirement timing impacts optimal account allocation
- When a Roth-heavy strategy creates meaningful long-term advantages
- How required minimum distributions and tax treatment affect outcomes
- Practical ways to apply these insights in client conversations
If you advise clients on retirement planning—and want to move beyond generic rules of thumb—this session will give you a more precise, research-backed framework to guide your recommendations.
