SmartAsset and Yahoo Finance LLC may earn commission or revenue through links in the content below. With retirement planning and taxes, there are often two ways to look at a question: First, can you do something, and then, should you do it? For example, let’s say we have a household planning for retirement. Would it be wise for them to convert their 401(k) into a Roth IRA 20% at a time in order to avoid taxes and RMDs? Technically, this is certainly allowed. You can do this.