scooter260
Dryer sheet wannabe
- Joined
- Dec 1, 2007
- Messages
- 20
Here's our situation:
-My wife and I have a combined gross income of roughly $300M.
-We are in our mid-30's.
-We just set up traditional IRA's for both of us 3 years ago. Each year, we have contributed the max amount ($4,000, $4,000, $5,000).
-We both max out our 401k and also have other money in taxable mutual fund accounts
During our tax review this year, our accountant told us to get out of the IRA's and just transfer the money to traditional taxable investment accounts. I'm not exactly sure how he explained it, but I believe he said we make too much money to get any tax benefit from the IRA. He said something about the tax-free growth benefit NOW won't be that big of a deal once we start tapping into the money in retirement due to capital gains. Then he said, bottom line, it would likely just be easier and simpler just to have the money in a taxable account. Otherwise, "there are things" we need to do each year for taxes that will make it more of a hassle to have the money in an IRA.
Anyone care to help clarify or provide advice? Should we have the money in an IRA or just move it to a taxable account?
Also, is there something about the 2010 Roth IRA "opportunity" that makes it worthwhile to keep the IRA in place and move it to a Roth in 2010?
-My wife and I have a combined gross income of roughly $300M.
-We are in our mid-30's.
-We just set up traditional IRA's for both of us 3 years ago. Each year, we have contributed the max amount ($4,000, $4,000, $5,000).
-We both max out our 401k and also have other money in taxable mutual fund accounts
During our tax review this year, our accountant told us to get out of the IRA's and just transfer the money to traditional taxable investment accounts. I'm not exactly sure how he explained it, but I believe he said we make too much money to get any tax benefit from the IRA. He said something about the tax-free growth benefit NOW won't be that big of a deal once we start tapping into the money in retirement due to capital gains. Then he said, bottom line, it would likely just be easier and simpler just to have the money in a taxable account. Otherwise, "there are things" we need to do each year for taxes that will make it more of a hassle to have the money in an IRA.
Anyone care to help clarify or provide advice? Should we have the money in an IRA or just move it to a taxable account?
Also, is there something about the 2010 Roth IRA "opportunity" that makes it worthwhile to keep the IRA in place and move it to a Roth in 2010?