Ultimately, we use fund bonuses and multipliers to pay off your taxes for you.

Let's say the fund we help you invest into, offers a 19% bonus. You deposit $200,000 into the fund and receive a $38,000 cash bonus.

If your tax bracket were 20%, for example, then converting $50,000 would require paying $10,000 in taxes.

By using our strategy, you would use $10,000 of your $38,000 bonus to internally convert your $50,000, leaving you with a balance after conversion of $228,000 in total. As you can see, you use the fund’s money to partially convert your IRA for free.

Now, let's assume that the fund gains 6% over the next year. If your money was in a fund offering an index option multiplier participation rate of 150%, for example, you would receive a 9% growth, credited to your account balance. That means 9% on $228,000 equals $248,520.

Your principal balance would grow by $20,520, which means that you can use the extra 50% credited participation of $10,260 to convert another $50,000 of your IRA balance the next year.

At this point, you could use the cash bonus and the index option multiplier participation rate to accelerate paying the taxes on the $50,000 you want to convert to a Roth IRA. By repeating this strategy every positive market year, you'd essentially be using the fund's money to pay the taxes.