I am Retiring this year and expect a lower tax bracket next year. Should I convert my IRA to a ROTH?

The $100,000 modified adjusted gross income limit that currently applies to conversions is scheduled to permanently disappear on the first day of 2010, and a favorable tax reporting treatment applies to conversions made at any time in 2010.

However, not knowing if you are married or how old you are, there are variables to consider.  If you have not applied for Social Security yet, and if you have assets that can support you if you delay taking SS income, you are likely to receive more lifetime income by delaying your SS option. If you are married, your widow’s income and inflation adjustments will be based on your initial year of taking Social Security. The later you do that, the larger your income and hers.  Depending on her age, that can make a large difference in her security as a widow. 
 
Converting to a ROTH would likely mean you can’t use that asset to delay receipt of SS income. There are planning calculators on the www.SSA.gov website. We can also help you with planning different scenarios.