2011 Tax Planning and Roth IRAs

I know it seems like we just finished working on your 2010 taxes, but now is a good time to start your 2011 tax planning. Changes in the law will effect  how small business owners can take advantage of their Roth IRA:

(1) Roth IRA rollovers no longer restricted. You can now make a qualified rollover contribution to a Roth IRA, regardless of the amount of your modified adjusted gross income.

(2) Income from Roth rollover can be spread out. Half of any income that results from a rollover or conversion to a Roth IRA from another retirement plan in 2010 is included in income in 2011, and the other half in 2012, unless you elect to include all of it in 2010

It is never to early to start tax planning for next year.  Give us a call to see what we can do to help you take advantage of the tax savings available to you.

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