Obama signs bill allowing 401(k)s to roll over to Roths

A provision of the Small Business Jobs Act signed by President Barack Obama on Monday allows participants in 401(k) plans to roll over a portion or all of their account balance into a Roth 401(k) plan offered by their employers. If the employee does the rollover this year, the taxes could be paid in equal payments in 2011 and 2012. The provision also allows participants in Section 457(b) plans to make contributions to Roth accounts starting in 2011.

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