A Roth IRA conversion moves pre-tax funds from traditional retirement accounts into a Roth IRA, treating the converted amount as ordinary income that year. Benefits include tax-free growth, tax-free withdrawals, and no required minimum distributions during the owner's lifetime. It is advantageous for those expecting higher future tax rates or lower current income. A common strategy is converting amounts to fill lower tax brackets annually, reducing future taxable balances. The five-year rule applies separately to each conversion.