The Motley Fool Discussion Boards

Previous Page

Financial Planning / Tax Strategies


Subject:  Re: Regular IRA xfer to Roth IRA Date:  8/26/1997  7:36 PM
Author:  Number35 Number:  277 of 127642

><<As for this point that you brought up, this leads me to another
>question. So, given the 100K AGI limitation in mind, are you allowed
>only 1 rollover ever or will you be allowed to do this every year that
>you're eligible? So that you can chip away at a huge standard IRA bit
>by bit?>>
>No restrictions or limitations that I can see on the rollover provision.
> So, it would seem, that as long as you fall under the income
>limitation, and still have IRAs out there that you want to convert,
>there is no limitation to do so.

Woo-hoo! That's good to hear.

Here's an interesting tidbit from the latest (09/08/97) issue of Fortune. On page 181, it states that...

"Weight the benefits of a Roth IRA, if you qualify, and rolling over sums from an existing IRA into the new account. If you do the latter, remember that the distribution from your IRA might bump you into a new tax bracket, since one-quarter of the amount will be included in your 1998 income."

What do you make of that? Did Fortune make a slightly different interpretation of the rollover provision that they might need to retract in the next issue? Or are my concerns about rollovers and the AGI limitations less worrisome given this different math?

Copyright 1996-2018 trademark and the "Fool" logo is a trademark of The Motley Fool, Inc. Contact Us