Hi Everyone,

I've read all the FAQs and many old threads but still can't seem to find the answer to my questions:

Our slightly fictionalized story is as follows:

My wife and I file a joint return and are in our early/mid 30s and have been contributing to our Trad IRAs for 12 years. The first 4 or 5 years we were able to deduct the 4,000 (2,000 x 2) or a portion of it and since then we haven't been able to deduct any of it. Both of our IRAs have grown to be about 50k each. Our AGI is between 60 and 70k. 3 kids under 10 (although I don't think this matters for this discussion).

It is clear (at least to me) that we should convert to Roth IRAs, but what is NOT clear is (here comes the question):

What is the smartest way to do this Tax-wise??? :

All at once???
One at a time???
Portions of each over a 5 year period--if this is possible????
Maybe I've got it all wrong and shouldn't be doing it at all?????

Could someone who is a bit savvier with taxes than me shed some light on what the best path is???

Thanks a lot in advance...I've been putting this off for a couple of years because of this very question...

BTW, since I know I'll be asked--I was NOT able to do it in 1998 for some highly unique circumstances--so I knew I'd have to make a lump payment at some point...but now the question is naturally how to minimize that blow...

Thanks again..


Thad