Beginning in 2010 the AGI limit for Roth conversions is lifted. This raises new questions about when a Roth IRA conversion makes sense. It isn't an easy question to analyze. One thing for certain, when you make a conversion you are choosing to pay tax today to avoid tax tomorrow. Voluntary early tax payments are generally not on the top of any one's "fun things to do today" list.
There are some situations where conversions make sense. The key is to analyze your situation very specifically and avoid generalizations.
This is one of the best articles I have seen on the subject from David Loeper of WealthCare Capital Management.
May prosperity be yours,
Mackey McNeill, CPA, PFS, IAR
www.CultivatingProsperity.com
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