Taking Another Look at Roth IRAsTaking Another Look at Roth IRAs
As the U.S. economy continues its sluggish recovery, and despite the turbulence and uncertainty of the global economy, there's a tremendous planning opportunity for many of our clients in 2011 and 2012. Since last year, the income limitations that had previously prohibited many investors from converting their traditional individual retirement accounts to Roth IRAs were removed. Now, virtually anyone,
August 1, 2011
Lena Rizkallah
As the U.S. economy continues its sluggish recovery, and despite the turbulence and uncertainty of the global economy, there's a tremendous planning opportunity for many of our clients in 2011 and 2012. Since last year, the income limitations that had previously prohibited many investors from converting their traditional individual retirement accounts to Roth IRAs were removed. Now, virtually anyone, no matter what his income, can convert a traditional IRA into a Roth IRA and potentially receive tax-free distributions in retirement (based on an appropriate holding period and age).
Leading up to the income limitation changes in January 2010, many financial planners anticipated a boom in Roth conversions, but because of the un...
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