I recently started writing puts for income on a large chunk of my savings.

Using short puts (30-60 days) I am making $1500 or so a month in extra income. I don't worry about getting the put "put" to me because I invest in good (Fool recommended)companies and due to the immediate put income made I can immediately write covered calls at a lower (out-of-the-money) strike on any contracts I just bought, making more income, and at a price that almost guarantees the sale. I really don't want the stock, just the income.

Then I turn around and do it again the following month.

My concern is if this is a reasonable technique - why havn't I already read about it in the Fool? I started by following Fool's Pro and Stock Advisor to learn the basics of put writing. Soon I decided to use the same stock information and a little more risk to create a bit of monthly income.

The only potential problem I can see is a capital gains tax. Am I looking at getting killed at the end of the year? Would it be smarted to use this technique under my brokerage's Roth account?

Any thoughts are appreciated.