To Roth or Not to Roth: Analyzing the Conversion Opportunity for 2010 and Beyond
Bureau of National Affairs Daily Tax Report, Vol. 9, No. 181, September 22, 2009
6 Pages Posted: 23 Sep 2009 Last revised: 10 Oct 2009
Date Written: September 22, 2009
Beginning in 2010, all taxpayers will be able to convert their existing Individual Retirement Accounts (IRA) to Roth IRAs, without regard to their level of income or marital status. In effect, taxpayers will be able to lock in current income tax rates on account values that have been eroded by recent investment market declines. This article analyzes who should take advantage of this opportunity, using the barest minimum of arithmetic (and no calculus).
JEL Classification: A20
Suggested Citation: Suggested Citation