How to Calculate Taxes on IRA Income
Calculations vary with contributions and earnings In last month’s article, I wrote about the mistaken idea some people have that they earn too much to benefit from a Roth IRA. The Tax Increase Prevention and Reconciliation Act, passed by Congress in 2005, effectively opened up a legal avenue to make contributions to a traditional IRA, and then convert all or part of the funds to a Roth. Let’s dig a…