by Junior Boomer on February 9, 2010
If you are a baby boomer and you have either lost your job, left your job for a new one or retiring, then you have an important choice to make regarding your 401k plan. If retirement is here (Congratulations!) then the most common approach is rolling over the 401k into a traditional IRA. This process is very easy and allows you to continue the tax deferral process. With the AGI limits on Roth IRA conversion now being non existent in 2010, you now have the choice to do a direct rollover of your 401k into a Roth IRA. There, of course, is a tax consequence for doing so. Does rolling over your 401k into a Roth IRA make sense for you? Let’s find out.

photo credit: jayallen
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by Junior Boomer on February 8, 2010
The IRS is always looking for ways to get in your wallet and the alternative minimum tax is no exception. The AMT was initially created to go after saavy high income earners that would take advantage of all the tax breaks they could. The tax was to make sure that they would pay a “minimum” tax. What has evolved over the years is that as inflation has moved many middle class income earners into the range of the beloved AMT. If you suddenly find yourself subject to the Alternative Minimum Tax, here are some tips to avoid it.

photo credit: ColumbusCameraOp
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by Junior Boomer on February 5, 2010