What does Wealth impact mean in the Payment flows and Roth conversion features?
The Wealth impact field in the Retirement planner describes the direction of a cash flow relative to your net worth:
- Increase: money coming in (income, inheritance, pension).
- Decrease: money going out (expenses, taxes, spending).
- Transfer: money moving between account types without leaving your net worth. This is the correct setting for Roth conversions.
For Roth conversions specifically, set Wealth impact to Transfer. A conversion moves money from a tax-deferred account to a tax-free account, so the converted amount stays in your portfolio. Your net worth still drops by the taxes paid that year (the planner picks that up from your Tax profile), but the principal isn't leaving the picture.
To update a Roth conversion entry:
- Open Retirement planner - Taxes & withdrawals tab.
- Find your Roth conversion entry in the Roth strategy section. The fields on each row are inline-editable.
- Change Wealth impact to Transfer (the change saves automatically).
To compare two conversion strategies side-by-side (e.g. $50k/year vs $100k/year), save each as a what-if scenario and switch between them on the projection chart. If anything still looks off, email support@portfoliopilot.com with a screenshot. We'll investigate and fix it asap.
