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Important Consumer Disclosure :This newsletter contains general information that is not suitable for everyone. The information contained herein should not be construed as personalized investment or tax advice. You should contact a licensed accountant for personalized tax advice. Past performance is no guarantee of future results. There is no guarantee that the views and opinions expressed in this newsletter will come to pass. Investing involves the potential for gains and the risk of losses and may not be suitable for all investors. Certain of the information provided in this article has been prepared by non-affiliated third parties (“Third Party Content”) and is reproduced with permission. Noyes Capital believes all Third Party Content to be from reliable sources but makes no warranty as to the accuracy or timeliness of such content. Information presented herein is subject to change without notice and should not be considered as a solicitation to buy or sell any security. Noyes Capital Management, LLC (“Noyes Capital”) is a registered investment advisor with the U.S. Securities & Exchange Commission with a principal place of business in the State of New Jersey. Noyes Capital and its representatives are in compliance with the current registration requirements imposed upon registered investment advisors by those states in which Noyes Capital maintains clients. Noyes Capital may only transact business in those states in which it is registered, or qualifies for an exemption or exclusion from registration requirements. For additional information about Noyes Capital, including fees and services, send for our disclosure statement as set forth on Form ADV using the contact information herein. Please read the disclosure statement carefully before you invest or send money. Copyright 2010 Noyes Capital Management, LLC. All rights reserved. |
Personally, the new year represents a time to go on a diet, to set both real and imaginary goals for the year, to cut spending and even start contemplating tax season. This year I am commited to delivering a monthly newsletter and monthly conference call on an intersting topic. I hope that you enjoy both of them. May 2010 bring you good health, happiness and prosperity.
In 2010, tax laws have changed to permit taxpayers with income over $100,000 to convert all or part of their IRA's to Roth IRA's. This is good news because income earned in Roth IRA's is not taxed by federal or state governments. The downside is that you have to "buy out" the government's share of your current IRA by adding the converted amount to your taxable income. This could very likely push you into a higher tax bracket and may result in supplemental AMT taxes. This strategy only makes sense if your current combined tax rate is equal to or lower than your future tax rate...
