Convert IRA to Roth IRA

2010 is a good year if you would like to convert your traditional IRA to a Roth IRA.  In 2010 you can convert the funds in your IRA to a Roth IRA no matter what your modified adjusted gross income happens to be.  Prior to 2010 you could only make this conversion if your modified AGI was less than $100,000.  In addition to this, if you complete a Roth IRA conversion during 2010, you may choose to include the taxable portion of your conversion as 2010 income or you can split the income equally between 2011 and 2012.
This is a pretty cool feature that the government is allowing.

Basically it all comes down to one question. Do you wan to pay your taxes on your money now or in the future?  This all depends of course on what tax bracket you plan to find yourself in. This is also a hard call to make for several reasons. How will the tax laws change? How much income will I be receiving from other sources?  This can make the choice difficult. 

There are immediate tax advantages to the Roth IRA. Do as much research as possible and it is a good idea to find a financial advisor with your goals and best interest in mind.