In Jack Miller’s “Advanced Real Estate Option Strategies” course available on here, there is a discussion on the 12th CD, 4th track, entitled “Pitting Your IRA against your Roth IRA”. The idea is to convert your traditional IRA into a Roth IRA while bypassing the usual tax hardships a high-income earner might endure.
The idea is to use the stock market. Hold a stock position in the tradition IRA where you are betting it will go up. Hold an offsetting PUT position in your Roth IRA where you are betting the stock will go down. If that happens, your Roth will grow and your Traditional IRA will shrink. If that doesn’t happen, your Traditional IRA just grows.
I don’t think I understand this concept well enough to try it. Can anyone embellish on Jack’s description of this technique? He doesn’t talk about it in the book; it’s one of those throw-in techniques. However, this could be really powerful if it works. I have far more money in a Traditional IRA and would like to be able to move it into my Roth IRA.
Very curious to hear anyone’s thoughts. I hate the stock market, but if it could somehow help to get this done, then maybe I’d consider using it. Seems like it’d be a slow methodical process.