Is there an income limit on converting an IRA to a Roth IRA in 2011?

[Anonymous]

I know there was no income limit in 2010, but I can't find whether this is still true for 2011. Thanks so much! (Any links on the topic would be much appreciated.)

[Anonymous]

I believe the change is "permanent" (meaning there is no restriction on conversions until Congress realizes the situation is ridiculous and changes its mind one way or the other).

http://www.savingtoinvest.com/2009/08/new-roth-ira-conversion-rules-and.html

http://www.fairmark.com/rothira/expand.htm

[Anonymous]

No but you have to pay the tax all in 2011, as opposed to 2010 conversions, for which you are allowed to pay the tax over two calendar years.

[Anonymous]

Tangentially, once you convert, can you continue contributing to your converted Roth, even if you make more than the normal Roth income limits? I can't figure this piece out.

[Anonymous]

Anonymous wrote:Tangentially, once you convert, can you continue contributing to your converted Roth, even if you make more than the normal Roth income limits? I can't figure this piece out.

http://www.irs.gov/retirement/participant/article/0,,id=188238,00.html

I don't think so. There are still income limits on directly contributing to a Roth IRA.

[Anonymous]

Wait, so you can't put money into a Roth if you have over a certain limit, but you can convert that regular IRA into a Roth??

[Anonymous]

Anonymous wrote:Wait, so you can't put money into a Roth if you have over a certain limit, but you can convert that regular IRA into a Roth??

yup, you can't put money into a Roth if your income is over a certain limit, but you can convert that regular IRA into a Roth. This was new in 2010.

https://news.fidelity.com/news/article.jhtml?guid=/FidelityNewsPage/pages/fidelity-roth-conversion&topic=saving-for-retirement