I would like to convert my 401k (50k value) to a Roth IRA via Trad IRA route. Some questions:

Can my wife and I still contribute 2k each to the Roth this year or will the conversion stop this?

Can I split the conversion taxes over 4 years still or did they do away with that rule?

Are the taxes withheld at conversion or do I handle it with my normal taxes in April?

At what rate is the converted funds taxed at?

1. You can still contribute assuming your income falls within the range allowed

2. You cannot spread the tax out anymore but you can spread the conversion out (ie. convert 3k this yr, 2k next yr, etc) and pay the taxes each yr.

3. You handle the tax at the end of the yr (do not take it from converted funds!)

4. Converted funds are taxed at ordinary income, try to arrange your affairs to lessen the bite (ie. defer bonuses, take losses elsewhere, tax loss swapping, etc)

Matt Tuttle
http://www.wealthadvisors.bigstep.com