I recently read Kay Bell’s article at Don’t Mess With Taxes titled Are you ready for a Roth conversion? I commented that most people would not be likely to save their way to a higher bracket at retirement and offered some numbers. For example, a couple having a standard deduction of $11,400 + exemptions totaling $7300. First $18700/yr tax free. The 4% withdrawal rule (as good a starting number as any) means one needs $467,500 in pretax savings to generate that $18,700. This led to Kay inviting me to expand on this thought and in response I wrote an article titled Roth IRAs and your retirement income, now published there. Take a read and let Kay know if the article helped you.
Beware the Roth Mania.