Re: 401k and IRA question.

Thanks everyone for the replies; my questions got answered.

@[EMAIL PROTECTED]
 clarify let me state this first, for 2007 tax year I was in the 25%
tax bracket and I am assuming I will be employed soon.

You mentioned that if I was unemployed for some time during 2008 and
fell in the lower 15% tax bracket I would, "... convert and pay $600 in
tax. You are ahead $400."  Can you elaborate that example?  I am not
sure what I would be converting.

Also a "deductible IRA" is that a traditional IRA?

Thanks.

--------------------------------------
Misc.invest.financial-plan is a moderated newsgroup where Moderators
strive
to keep the conversations on-topic for financial planning. Other posting
guidelines include a request for brevity and another for trimming posts to
which we respond.  For all of the other tips and suggestions, see "FROM
THE
MODERATORS: Posting to misc.invest.financial-plan", a weekly post now on
the
Newsgroup.